Posted on: 03 June 2010 by Mark Howells
Regional Express (Rex) has applauded the Australian Government’s newly issued Declaration and Direction under the Trade Practices Act 1974, which secures access and reasonable pricing for regional airlines at Sydney Airport, thus extending the regime that began in 2002 for the next three years until 30 June 2013.
This action, says Rex, will ensure that Sydney Airport’s price increases to regional airlines will be capped to CPI and be submitted to ACCC for scrutiny.
Rex managing director Jim Davis complimented the Government’s firm leadership in this matter. “Rex is pleased that the Government has been decisive and proactive in addressing this critical issue for regional aviation in a timely and efficient manner,” he remarked. “This decision, together with the recently announced Federal grant of almost $1.1 million to assist Wagga Wagga City Council install an Instrument Landing System (ILS), clearly demonstrates a firm intention of the Government to deliver on its promises to regional aviation as outlined in Australia’s first-ever aviation White Paper released in December last year:
“Sydney Airport is the only Australian airport with legislated caps on the allowable number of hourly runway movements and a demand management scheme to allocate the limited number of runway slots. Without government action, commercial pressures would tend to favour the use of large capacity jet aircraft which service domestic trunk routes and international services at the expense of services operated with smaller regional aircraft,” Davis explained. “The Government recognises Sydney Airport’s role as an essential transport hub for regional New South Wales and will ensure access and reasonable pricing for regional airlines.”