Australia's International Air Services Commission (IASC) has re-opened the door for proposed start-up carrier Australia World Airways (AW) to launch the international services it was denied by an earlier IASC decision. The Commission sets a six-month deadline, however, by which AW must demonstrate that it is adequately funded.

In January, the IASC issued a draft ruling concluding that, because neither AW nor its former competitor Australian Connection Airlines (ACA), had secured funding, neither carrier should be allocated Australian capacity to inaugurate international services.

AW had proposed two weekly services from Australia to the Netherlands via Sri Lanka and Athens, using a Boeing 767-300, while ACA had first sought rights to fly between Australia and Malaysia, and later to China.

The two have now agreed to merge, and IASC says that, "-with the merger between the two parties, [it] has now been able to assess the application by Australian World as an uncontested application. [It] has decided that, subject to any comments on the draft determination, Australian World should be given the opportunity to implement its proposals provided it raises the necessary funds to do so."

AW will now seek to establish funding and operational capability for its Australia - Netherlands route plan.

Source: Flight International