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Alderney wants urgent talks with Policy & Resources after the committee moved to raise air fares to the island.
It says P&R’s stance will “cause consternation among the people of Alderney and harm the Bailiwick economy”.
Guernsey's senior committee has made the decision to immediately add £5 on all fares as the subsidy was heading towards being £600,000 over the £2m. target this year.
And it will go further, cutting the subsidy target to £1.5m. next year, directing fare increases to cover that are aimed at the Alderney-Southampton route - the combined increases will push up a return fare on this link by around £90 so flex return tickets come close to £450.
"We are extremely disappointed at the serious lack of engagement prior to being informed of this decision by letter late on Tuesday November 12th and I immediately asked for a meeting with P&R as a matter of urgency and I am awaiting a response," said Alderney's Policy & Finance Committee Chairman Nigel Vooght.
Pictured: The fare increases were announced yesterday.
"P&R appears to be relying on an amendment laid at the time of the States of Guernsey's unfulfilled decision in 2022 to extend the runway and replace the airport buildings. That original amendment to renegotiate the PSO is now being actioned while the main purpose of the agreed proposition within which it was laid, has not come to fruition and it is worrying that the replacement runway has been delayed for so long incurring increased costs to the taxpayer.
"We are disappointed that this announcement has been made without prior discussion, constructive collaboration or due assessment of the impact it is likely to have on our economy which is already constrained by high air fares and disrupted connectivity. If our economy suffers further as a result of this reduction, so does the Bailiwick's as the taxes we pay to Guernsey will decline."
In December 2022 as members decided which airport rehabilitation option to back, Deputy Mark Helyar and Alderney Representative Alex Snowden laid a two part amendment which won significant support.
It helped guarantee 50% savings in the subsidy once work has been completed.
But it also added a proposition that was not linked to the work, which directed P&R to renegotiate the current Alderney Public Service Obligation contract with Aurigny with a view to reducing the current subsidy payable with effect from January 2024.
When that debate happened in 2022, the timetable suggested contractors would begin work on site this summer.
But cost estimates for the project forced a rethink and it is now in limbo.
"We are of the opinion that savings to operating the airlink and thus the PSO cannot be delivered until the runway rehabilitation is complete," said Mr Vooght.
"The short-term effects of the implementation of the 2022 amendment could lead to immediate seat shortages for the community to obtain essential health and education travel as people will be looking to book business and leisure travel whilst the prices remain at the current rate. It will also inhibit growing our economy and thus reduce Bailiwick income."
In light of the potential impact on the community of Alderney and the impasse of the runway rehabilitation, the Ministry of Justice has been fully appraised of the concerns of States Members, Alderney has said.
Flying to Alderney immediately costs more and will rocket next year as P&R looks to rein in subsidy
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