Budget Airline Revolution or National Security Risk? The Wizz Air Gamble
Wizz Air's ambitious plan to establish a major hub at Ben-Gurion Airport faces fierce opposition from Israeli carriers, while promising lower fares and economic benefits for travelers.
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Hungarian budget carrier Wizz Air is pressing ahead with plans to establish a major hub at Ben-Gurion Airport, a move that could reshape Israel’s aviation market with up to 200 weekly flights and slash ticket prices for travelers. But Israeli airlines are waging a full-scale campaign to block the initiative, warning it could “collapse Israeli aviation,” while regulators remain split.
Transport Minister Miri Regev has thrown her weight behind the proposal, seeing it as a breakthrough for competition and affordability. “We want to open Israel to the world,” one ministry official said, emphasizing the potential economic benefits. Wizz Air argues the hub would add as much as $2 billion annually to Israel’s GDP, create jobs for local crews, and even ensure continued flights in wartime.
Yet the Civil Aviation Authority insists clear rules must be set for both foreign and Israeli carriers before granting the green light. Industry sources say Wizz Air is demanding access to Terminal 1’s lower operating costs and permission to run routes to high-demand destinations like Bangkok and New York, even leasing long-haul aircraft if necessary.
Israeli rivals El Al, Israir, and Arkia have issued stark warnings to the government, calling the proposal a “dangerous precedent” that could open the door to foreign dominance of the skies. El Al executives reportedly stormed out of a recent meeting with Regev, declaring, “There is no one to talk to.”
The standoff comes as Israelis face record-high fares, driven by the war and the mass exit of foreign carriers. Supporters of the Wizz Air deal say more competition is the only effective tool to bring prices down. Detractors warn it will undermine the resilience of local airlines, which have continued flying even as foreign companies pulled out.
The Transport Ministry is expected to decide in the coming weeks. For Regev, the stakes are high: success could mean cheaper flights and political credit failure could trigger a bruising clash with Israel’s flagship carriers on the eve of an election year.