Australia is considering taking the unusual step of allowing foreign airlines to fly domestic routes in the tropical north of the country to help speed up the region’s economic d

11 replies

airADL

Qantas - Qantas Frequent Flyer

Member since 25 Mar 2014

Total posts 198

Australia is considering taking the unusual step of allowing foreign airlines to fly domestic routes in the tropical north of the country to help speed up the region’s economic development.

airADL

Qantas - Qantas Frequent Flyer

Member since 25 Mar 2014

Total posts 198

I just wanted to get a feel for the Business Travellers / Frequent Fliers reaction to such a proposal.

Are we for it or against it?

lind26

Member since 24 Apr 2014

Total posts 230

Why will foreign and not domestic airlines enable that? Labour costs?

airADL

Qantas - Qantas Frequent Flyer

Member since 25 Mar 2014

Total posts 198

I could only see working for say Townsville/Cairns to Darwin onto say Singapore or KL or Manilla or Bangkok etc 

Where they drop off pick up at various towns

PAX wise  would it be worth while

I assume Lind26 labour costs etc is behind all this I can t work it out

I did a lot of flying Skytrans FNQ routes in land costs  more than my ADL BNE return flight with QF on disc flex

What foreign airline in their right mind will pick up these routes

riley

Virgin Australia - Velocity Rewards

Member since 19 Mar 2014

Total posts 358

That's called the 8th freedom of the Air, where a foreign company is enabled to fly from two domestic destinations in one country then onto it's own. It's not too dissimilar to what Qantas do with NYC - LAX - SYD. 

The 9th freedom is where they don't fly onto their own country. Basically like allowing Chine Southern to operate the Sydney to Melbourne route. I personally can't see that ever happening.

hutch

Member since 07 Oct 2012

Total posts 761

Yes but Qantas can't pick up local traffic between LAX and JFK, only customers on an international ticket... but in this plan, lets say Air Asia fly KUL>Darwin>Cairns, but could pick up a passenger in Darwin and then fly them to Cairns. 

I'm not a fan of this plan. Personally I think Australian domestic skies are for Australian carriers. 

TheRealBabushka

Member since 21 Apr 2012

Total posts 2,059

What is the existing QF and VA loads on the affected sectors? Are the incumbents making supernormal profits in those sectors?

Can you kick start growth by liberalising air links if the existing ground infrastructure has not gotten the memo?

Cheaper flights to the tropical north? Then what? If existing infrastructure is inadequate then it just stinks of tokenism. 

airADL

Qantas - Qantas Frequent Flyer

Member since 25 Mar 2014

Total posts 198

Just to clarify it was for cheaper flights between domestic airports in Australias Far North not to the Far north...

 

airADL

Qantas - Qantas Frequent Flyer

Member since 25 Mar 2014

Total posts 198

this is the link for article

http://www.wsj.com/articles/australias-local-airlines-under-threat-1432542393

Sladeyp

Qantas - Qantas Frequent Flyer

Member since 08 Dec 2011

Total posts 8

I can see a scenario of a Jetstar Asia tag flight with an asian based & paid crew running ex SIN or DPS to PER via mining centres such as PHE or KTA.

There's plenty of FIFO who now base themselves in Bali. I think Virgin is actually operating a direct PHE>DPS?

Andrew Barkery

Qantas - Qantas Frequent Flyer

Member since 21 Mar 2011

Total posts 427

Does this mean we will need more Australian Border Force staff at every airport that these airlines fly into.

Who pays?  We all will via the Passenger Movement Charge eh?

Easy to talk about it, but will it ever be a reality?  Who knows.

We are already so strict which is good, that we need visas for all visitors, but the idea above, might open us to having to pay a lot higher passenger movement charge, and maybe more "unlawful non citizens".  The more passengers we get, the more of those people who might become overstayers.

TheRealBabushka

Member since 21 Apr 2012

Total posts 2,059

I'm not entirely sure the premise is sound. Does increasing supply necessarily result in growth? 

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