The Federal Government has released a policy paper, the Aviation White Paper, which outlines its long-term vision for domestic aviation.
The Aviation White Paper lays out 56 policy recommendations to overhaul the industry, including improving customer rights and increasing competition.
The Government called it the most “significant overhaul of aviation for more than a decade”.
However, the Opposition has called the report a “missed opportunity”.
Consumer rights
The Government is calling for a new ‘Consumer Rights Charter‘. This would set out obligations for airlines around the “fair and appropriate treatment of customers” and a minimum level of customer service.
It would mandate that customers be refunded for flights that are cancelled, disrupted or “unreasonably delayed”.
The Charter would also determine how long passengers should have to wait for a refund, and other requirements around transparency, communication, and customer support.
Ombudsman
The White Paper calls for an independent body to regulate and monitor the industry, including the Charter of Rights.
The Aviation Industry Ombudsman would be appointed to handle misconduct claims. This could include referring some complaints to the ACCC — the national consumer and competition watchdog.
The Ombudsman would be given powers to take action against airports and airlines in breach of their obligations. They would also publish regular reports on industry performance.
Accessibility
A recent Disability Royal Commission identified accessibility issues in airports and on planes. For instance, wheelchair accessibility, assistance animals, and accessible bathrooms onboard a plane.
In Australia, it’s unlawful to deny someone access to services – like transport – because of a disability.
The Government said it wants to introduce disability standards specifically for the aviation industry.
Competition
The White Paper included proposed policies to address the market dominance of Virgin and Qantas (which owns Jetstar). This includes harsher penalties for anti-competitive behaviour.
The Government proposed further measures to stamp out ‘slot hoarding —when major airlines book as many arrival and departure spots at popular airports as possible, to maintain priority runway access.
Reform on slot hoarding was recently introduced at Sydney Airport, and there are calls for similar regulations to be rolled out nationally.
Regional aviation
This White Paper release comes during regional airline Rex’s voluntary administration.
While the Government said it would support regional air services, it did not detail specific support for Rex.
The paper has called for the Productivity Commission to review regional airfares and look at ways to improve access to regional areas.
It also detailed plans to upgrade regional and remote airports.
Net zero
The aviation industry produces around 2% of the world’s energy-related CO2 emissions.
The White Paper called for more research and development into renewable energy solutions for the sector. This includes plans to produce ‘low-carbon liquid fuel’ in Australia.
The Government is also looking at the potential for battery-operated planes that could take over shorter, domestic flight routes.
Opposition
The Opposition has accused the Government of delaying action on an aviation overhaul until after the election.
Shadow Transport Minister Bridget McKenzie told TDA that “Australian airlines are not being held to the same standards as airlines overseas.”
Senator McKenzie said the White Paper includes 56 recommendations, but there are “no specific measures to get planes running on time, address the spiralling cost of airfares, or address the delays and cancellations”.
What’s next?
Legislation is required to implement the many policy proposals detailed in the Aviation White Paper. Transport Minister Catherine King said the report is a 20-year plan, and that reform will take time.
However, she said that slot reform legislation is currently being drafted, and is expected to reach Parliament “shortly”.
King also said an interim ombudsman will be appointed this week, to start drafting the Consumer Rights Charter. They will start receiving complaints next year, and that’s when more legislation is expected.
