Porter Airlines in talks over summer service to Muskoka to boost tourism

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Porter Airlines is in preliminary talks to launch summer service to Muskoka in a deal that could see the municipality pick up the tab for empty seats.

Local officials are hoping to offer scheduled commercial flights between Toronto and the heart of Ontario's cottage country next summer in a bid to boost tourism.

"The objective is to bring money outside of Canada into the region, not necessarily recycling Ontario money," said James Murphy, executive director of Explorers' Edge, a regional tourism organization that is championing the project.

Mr. Murphy declined to identify which airlines are being considered, saying official discussions have not begun. But a Porter spokesman confirmed the airline has had "very preliminary" talks with local officials.

"Obviously, there needs to be some market and some demand to support a service with the type of aircraft that we operate," said spokesman Brad Cicero, adding that the airline is awaiting the results of a feasibility study expected later this month.

Air Canada has not had discussions with Muskoka officials and has no plans to serve the region, spokesman Peter Fitzpatrick said.

Depending on the negotiations, the project's backers, including the municipality, could foot the bill for empty seats, said Mark Stirling, manager of the Muskoka Airport, which is owned and operated by the District of Muskoka.

"We've certainly contemplated the fact that we may have to financially support some empty seats to get the program going on a trial basis," he said, adding that cost projections have been generated.

But Samantha Hastings, the District of Muskoka's commissioner of planning and economic development, said it is unlikely the district would pay for unfilled seats, noting that the new route would have an aggressive marketing campaign "to make sure that we're not in a position where taxpayers are subsidizing empty seats. The whole point of doing an economic impact study is to make sure that this is a successful venture."

Mr. Cicero said incentive programs are "pretty common" with airports looking to attract new scheduled service.

Liz Denyar, president of the Muskoka Ratepayers' Association, welcomed the proposal, despite questioning the service's viability, but was hesitant when told about the prospect of subsidized seats.

"I'm not sure that that is a good use of taxpayers' dollars. We have other problems to solve, other places to put the money," she said.

The current proposal is for two weekly round-trip flights between Toronto and Muskoka – a distance of about 200 kilometres – on Thursdays and Sundays on 70-seat Bombardier Q400 turboprops (the only aircraft in Porter's fleet).

Mr. Stirling said officials envision that the service, which would last 12 weeks from June to September of 2017, would originate from the downtown Billy Bishop Toronto City Airport, Porter's hub of operations. Local resorts would also offer package deals.

While tourism officials plan to target Americans – and even Europeans – with Canadian wilderness vacations, the proposed route would also test interest in a commuter service for Toronto-area cottagers willing to pay to get to the lake in less than 30 minutes.

Backers of the plan are looking to the success of Porter's Mont-Tremblant seasonal service, which started with two flights a week in the 2007-2008 ski season and expanded to summer service three years later. Air Canada started flying to the Quebec resort area in 2014.

Getting tiny Muskoka Airport – which is supported by taxpayers and loses hundreds of thousands of dollars a year – ready for commercial airline activity could involve costly renovations. The airport currently serves private planes, including jets that bring the rich and famous to their posh summer retreats, but has no ticket counters, security screening facilities, secure holding zone or baggage handling area. It has one paved 6,000-foot runway in addition to a grass runway.

Officials have discussed a range of options, such as expanding the terminal or using portables or even buses to house travellers who have undergone security screening, Mr. Stirling said.

"I guess the magic thing is we don't know what the cost is yet. Until you know the cost, everybody's in favour of something new, but it always has to be weighed out with the cost," he said.

Proponents have hired an aviation consulting firm to conduct a feasibility study and help the airport receive approvals from Transport Canada and the Canadian Air Transport Security Authority. The consultant's report is to be presented to the District of Muskoka's planning and economic development committee on June 23. If it is approved, the proposal would go before district council, likely by late summer.

Editor's Note: An earlier version of this story quoted Porter spokesman Brad Cicero as saying agreements to pay for empty seats are "pretty common." He later clarified that he meant to say incentive programs are common. This online version has been corrected.