The Australian government has released its long-awaited Aviation White Paper, outlining a raft of proposals covering areas such as slot reform, sustainability and consumer rights.
A key focus of the white paper is the establishment of an ombudsman scheme – called the Aviation Industry Ombuds Scheme – which will outline what airlines must do in the event of cancellations or delays.
It will also place great emphasis on operational performance: airlines will have a new requirement to show cause when flights are delayed or cancelled, with data to be made public.
The independent scheme replaces the existing Aviation Customer Advocate scheme that is self-regulated by Australian carriers.
Transport minister Catherine King says the scheme – to be legislated in 2026 – will also be able to refer allegations of misconduct for further investigation.
The scheme appears to address the well-publicised operational meltdown that national operator Qantas suffered after pandemic travel restrictions were lifted. The Oneworld operator had also faced legal action over the sale of tickets on flights that were already cancelled.
The release of the white paper comes as the Australian aviation sector faces a period of upheaval, with the collapse of low-cost operator Bonza in May and the withdrawal of mainline jet operations from Regional Express in late-July.
The shake-up has prompted a warning from the country’s antitrust regulators of reduced airline competition, which could lead to higher domestic airfares.
To this end, the paper does not directly address the shrinking competition in the sector, but instead focuses on increasing competition by way of slot reform, especially at Sydney airport.
King first spoke about slot reform in early August, stating that her ministry will introduce legislation to boost competitiveness at Sydney airport, including freeing up more take-off and landing slots and easing barriers for new operators.
Canberra is also working through a tender process for a new slot manager at Sydney airport.
The minister now says the government will also “modernise” the compliance regime with penalties that “address anti-competitive behaviours” regarding slot usage.
Asked in a TV interview about domestic competition, King did not directly address the matter, and instead said: “Obviously, we do want to see more competition. We’re conscious, though that…we are a small market. And really, my job as the regulator of aviation and of airports is to try and make sure we get the best possible deal we can for the Australian consumer.”
King says that her government will also “allow foreign airlines to establish local companies that service domestic routes”.
“The government will consider cabotage requests on a case-by-case basis, either where there is a demand that no Australian operator is able to satisfy or where there is a proposed route not currently served by an Australian operator.,” she adds.
The statement is an indirect reference to the controversy surrounding Canberra’s decision to block Qatar Airways from expanding into Australia, which critics have labelled as an attempt to protect Qantas.
