Following the announcement that Bonza Airlines has been placed into voluntary administration, Federal Member for Groom Garth Hamilton has called on the government to do everything it can to ensure a competitive aviation sector.
“This news about Bonza’s collapse will only add to the imbalance in the Australian domestic aviation sector.
“Less competition is not a good outcome and the Government should be doing everything it can to ensure a safe, affordable and competitive Australian aviation sector,” Mr Hamilton said.
Currently the balance of the Australian aviation market is heavily in the favour of larger airlines, with Qantas and Virgin maintaining around 93% market share.
“Bonza’s entry into the Australian aviation market in early 2023 was a positive sign and welcomed by the tourism industry and regional Australia, such as here in Toowoomba with flights out of Wellcamp,” Mr Hamilton said.
“Real competition reform is needed to deliver Australian airline consumers the flights and better changes they deserve.”
Shadow Minister for Trade and Tourism Kevin Hogan says competition in our aviation sector is vital for our tourism industry – particularly our regional tourism industry – and the broader Australian economy.
“In a country as vast as Australia, the regional dispersal of domestic and international tourists is often unequally shared.”
Mr Hogan said of the 68 regions outside Australia’s capital cities, more than half had over 10 per cent of jobs directly or indirectly linked to the visitor economy.
“Close to 30% of the Australian population live, work and study in regional, rural, and remote areas.”
ENDS.
BACKGROUND
- The unexpected cancellation of flights has only further exposed the flaws in Australia’s consumer laws that fail to protect aviation passengers when last minute cancellations occur.
- The Coalition has a Bill before the Senate to bolster passenger protections in cases of cancellations or delays and ensure airlines do the right thing by their customers.
- Of the 68 regions outside Australia’s capital cities more than half had more than 10 per cent of regional jobs directly or indirectly linked to the visitor economy.
- Close to 30% of the Australian population live, work and study in regional, rural, and remote areas.