Abstract:At present, China’s airline deregulation is only partial because government wants to protect its growing domestic market. With the development of airline deregulation, most citizens can enjoy better air service with cheaper price. However, the benefit brought by airline deregulation has not been allocated equally. For example, it is quite difficult for sparsely populated and underdeveloped communities, especially those cities locates in the western part of China, to attract airlines to operate scheduled air service. In order to solve this problem, some developed regions and countries like Europe and the USA created air transport subsidies programs like US’s Essential Air Service (EAS) and Europe’s Public Service Obligation (PSO). Those programs ensure citizens’ rights to access air transport and promote the development of regional aviation. Starting from sorting out the background, policy content and implementation process of EAS and PSO, this paper compares the effect of EAS to PSO by applying benefit mechanism to analyzing stakeholders of those two programs. The purpose is to put forward some applicable policy decisions for future regional aviation.