[단독] Controversy over preferential treatment of Korean Air’s big deal …

With Korean Air and Asiana Airlines’ big deal, five airlines will be affiliated with Korean Air. [뉴스 1]

In the aftermath of the big deal of the two main national airlines, the plan for the “1 Trillion Dollar Fund” promoted by the Ministry of Land, Infrastructure and Transport was further disrupted. The Ministry of Land, Infrastructure and Transport planned to form a union by raising KRW 1 trillion from airlines, airports and the government to respond to the crisis and support management in the aviation sector.

However, the Ministry of Strategy and Finance objected that it was inappropriate for the airport to invest in the union and that the money had been given to affiliates of some companies, which represented half of the national airlines, saying it is highly preferential. In this situation, as Korean Air’s proportion as a big business has grown overwhelmingly, the arguments of the Ministry of Information and Transport, concerned about the controversy over preferential treatment for certain airlines, have become more powerful.

According to the Ministry of Land, Infrastructure and Transport on the 29th, an amendment to the law relating to the association for the development of the aviation industry, which aims to establish a fund of 1 trillion won, is presented to the National Assembly . However, government grants and airport grants in support of the union are taking turns.

Previously, the Ministry of Land, Infrastructure and Transport did not reflect the government contribution (45 billion won) requested by the Ministry of Land, Infrastructure and Transport in next year’s budget. This is the result of reflecting the negative position of the Ministry of Finance on the fundraising method.

Then, the National Assembly’s Land, Infrastructure and Transport Committee re-launched the contribution that had been cut through the budget increase review and handed it over to the Budget and Regulations Committee. However, the prospect of transition is uncertain as the Ministry of Information and Infrastructure is strongly opposed.

The planes that lost their seats in the aftermath of the 19 Crown are lining up at the Incheon airport booth. [뉴스 1]

An airline official who requested anonymity said: “It was difficult to raise money because airlines are suffering from commercial difficulties, but the fact that the big problem has become a single-way system for Korean Air made it more difficult. avoid disputes over preferential treatment for some companies. Image is also an obstacle “. An official from the Ministry of Land, Infrastructure and Transport also said: “It is true that the situation has become more difficult.”

Initially, the Ministry of Land, Infrastructure and Transport planned to create a KRW 1 trillion aviation industry development fund by adding government contributions (150 billion won) to domestic airline investments (700 billion won). and Incheon Airport and Korea Airports Corporation (150 billion won).

This money was used to lend emergency funds to airlines in crisis situations such as the spread of the novel coronavirus infection (Corona 19), and to lower the interest burden by providing an official guarantee when the airline normally leases planes. . Ground handling and aviation components companies can also benefit from the support. This is because the domestic aviation industry does not have such an emergency countermeasure, so it is a very weak structure during a crisis.

The Ministry of Strategy and Finance is negative about how the Ministry of Land, Infrastructure and Transport raises 1 trillion in aviation funds. [사진 기획재정부]

However, in October, the Ministry of Land, Infrastructure and Transport expressed a negative opinion on the project to set up a cooperative, for four reasons: ▶ violation of the purpose of the union ▶ dispute over preferential treatment ▶ deterioration of the sentence for the purposes of common law.

First of all, the Ministry of Science and Technology stated: “In principle, the Air Support Association is managed with the funds of the beneficiary airline.” The Ministry of Science and Technology also said that there is concern that the association will only be managed with the investment of the Airport Corporation, as the investment of the airlines is expected to be difficult in a short time due to the consequences of Crown 19.

In this way, concerns were expressed that if the union were run with only the money paid by the airport, the benefits would be concentrated on some affiliates of the group, representing 5 out of 10 airlines, and there could be a controversy. on preferential treatment. At that time, Korean Air and Jin Air were affiliates of Hanjin Group, while Asiana Airlines and Air Busan and Air Seoul were affiliates of Kumho Asiana Group.

However, with this major problem, all five airlines will be integrated into Korean Air. Its share in the aviation sector is absolute. This means that there is a greater likelihood that the benefits will focus on certain affiliates of the group. The focus of the big deal will strike the aviation industry development association.

“There are some concerns, but it could become more difficult in the future if we fail to create the minimum protection for the aviation industry,” said Jung Yong-sik, head of air policy at the Ministry of Land, Infrastructure and Transport. .

Reporter Kang Gap-saeng [email protected]