Cade’s opinion creates a barrier to competition between buses – 05/15/2023 – Panel SA

Opinion from Cade (Administrative Council for Economic Defense) recommends that ANTT (National Land Transport Agency) only authorize new interstate bus routes if there is economic viability on the line with the entry of new competitors.

The document, obtained by the column, was a request from the transport agency after confirmation by the Federal Supreme Court that the agency cannot bar requests for authorization of new lines, according to the new segment framework. However, the Supreme determined that it would be up to ANTT to define the regulations for the new authorizations requested.

Cade’s guidance generated criticism among companies, both new entrants and those intending to compete for profitable routes.

They claim that what is being tried is to keep the market closed. They say that, in aviation, for example, Anac does not analyze the economic viability of routes. This is because the risk of the operation rests with the entrepreneur. They consider that Cade would be suggesting an injunction, which goes against any free market rule.

With Diego Felix

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