A battle brewed at Winnipeg City Hall on Wednesday between the city's taxi companies and a proposed new airport shuttle service.

Avion Services, which offers security, parking and some retail services to Winnipeg International Airport, wants to expand its offerings to include three vans shuttling travellers between the airport and downtown hotels.

During Wednesday's meeting of the city's executive policy committee, Avion's request to have the city approve the service was put on hold.

The decision came as representatives from Duffy's Taxi, Unicity Taxi and Limousine Services told the committee that the competition from Avion could rob their industry of hundreds of fares a year, cutting into already razor-thin profits.

Avion general manager Shelley Tataryn said Wednesday she didn't buy the other companies' claim, arguing that shuttle services are offered in other cities.

"I have to wonder how any other major city can operate with all the same services then," Tataryn said.

"We are a major city, we're a major player in the nation. Why can't we operate the same as anyone else? You know, people aren't starving in other cities because of it."

The Taxicab Board had earlier refused Avion's proposal, saying it was outside its jurisdiction. However, an obscure section of the city's charter allows council to approve the service.

Members of the executive policy committee said they need more information about the service — including its impact on the local taxi industry — before making a decision either way.

They referred the issue to another committee for further study. The matter will come back to the executive policy committee next year.

Tataryn said that, given the delay, her company will have to decide if it wishes to proceed with the shuttle service proposal.