Australia's new government has been busy acting on air services liberalisation pledges since taking office a little over nine months ago. At least half a dozen new bilaterals have been signed with air services partners since then and the biggest one yet, with the European Union, looks set to be signed soon.
A new government came to power in December and there were questions initially about whether it would follow through with liberalisation initiatives put in place by the previous administration. Concern quickly passed, however, as early this year an Open Skies deal was signed with the USA.
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The biggest test of Australia's liberalisation pledge will be seen soon, as negotiations recently began with the EU on a proposed single air services agreement to replace the bilaterals Australia has with 17 EU member states.
Australian transport minister Anthony Albanese and EU transport commissioner Antonio Tajani said in announcing the start of the talks: "It has the potential to increase the number of flights and the range of services at the most competitive prices between Australia and the EU.
"The negotiations will go beyond the 'Open Skies' approach. Australia and the EU aim at closer co-operation in key aviation areas, such as safety, security, competition and environmental protection. The negotiations will also aim to improve investment opportunities." The EU is Australia's largest aviation market, with 4.5 million passengers travelling between Australia and EU countries last year.
Singapore, meanwhile, is hoping the new government will open up to allow Singapore Airlines to operate beyond Australia to the USA. The previous government repeatedly rejected Singapore's advances, saying new Australian airlines such as Virgin Blue's V Australia should first be given the opportunity to launch such services. V Australia is due to start serving the US west coast before the end of the year with Boeing 777s.
Source: Airline Business
