It has taken three months, but the Canadian Transportation Agency (CTA) has given the okay to discount travel airline NewLeaf.

Photo Credit: NewLeaf

The CTA completed its review of licensing regulations and has determined that the company is not required to hold a licence. In a decision posted on Mar. 29, 2016 the CTA stated “NewLeaf, should it proceed with its proposed business model, would not operate an air service and would not be required to hold an air licence.”

“We’ve read through the determination by the Canadian Transportation Agency and we are pleased that it has fulfilled its mandate to bring regulatory clarity to the marketplace – this is a victory for Canadian travellers,” affirmed NewLeaf Chief Executive Officer Jim Young. “The introduction of the distinctive term ‘reseller’ in airline regulation not only clarifies the role of NewLeaf in the travel marketplace, but also allows for innovation and consumer choice, while maintaining consumer protections.”

Photo Credit: NewLeaf

NewLeaf Travel Company launched in Jan. 2016 and offered one way flights for as low as $89. The company had planned to launch flights between Halifax, Hamilton, Winnipeg, Regina, Saskatoon, Abbotsford, and Kelowna starting Feb. 12, 2016. But just days after the company made its launch announcement; the CTA began an investigation to ensure the discount airline was in compliance of licensing regulations. The CTA reviewed whether persons who do not operate any aircraft, but market and sell air services to the public, should be required to hold Agency licences.

Under a charter arrangement with Kelowna-based Flair Airlines Ltd., Flair held the CTA operating licence, while NewLeaf offered seat sales.

Photo Credit: NewLeaf

“We want to thank the thousands of Canadians across the country who have expressed their support, especially those who have gone above and beyond by signing our petition and writing letters to the Minister of Transport. This backing shows that Canadian travellers truly desire an ultra-low-cost air service option which NewLeaf, in conjunction with Flair Airlines, will provide.  We are energized by the results of the review, and look forward to the bright future that lies ahead for NewLeaf and the Canadian travelling public,” said Young.

The company says now that the CTA review is complete, it will resume bookings in the near future, but an exact date has not yet been released.