Qantas and Emirates alliance looks to get the green light

THE competition watchdog is proposing to approve an alliance between Qantas and Emirates.

The Australian Competition and Consumer Commission has issued a draft decision authorising the alliance for five years - half the period the airlines requested.

The ACCC's chairman Rod Sims says the shorter period is due to the limited benefits to consumers that will arise from the alliance.

"Given the dynamic nature of the aviation industry, the limited extent of public benefits and the significant role of the trans-Tasman capacity condition in the ACCC's decision, the ACCC considers it appropriate to review this authorisation earlier than the 10 years requested by Qantas and Emirates," he noted in a statement.

However, Mr Sims says the benefits of the alliance to consumers, while not substantial, are still likely to outweigh less competition on a few routes.

Read more at ABC news online.