In July, the Australian government rocked the aviation industry after denying a request from Qatar Airways to introduce an additional 21 flights weekly to Sydney, Melbourne, and Brisbane.

Australia’s prime minister has rejected claims that the government had made an agreement with Qantas to safeguard the national airline’s market share following its controversial decision to block additional Qatar Airways flights into the country, triggering allegations of working in the interest of his “mates in Qantas.”

“I received no lobbying from Qantas about this issue,” Anthony Albanese said, adding “my government supports competition, but global aviation is not a free-for-all.”

“Qatar Airways can add more seats to Australia today, right now,” the prime minister said.

The PM has faced growing scrutiny from the opposition in parliament after the government’s decision to deny the Qatar Airways request for more flights.

The government has consistently argued that the decision was in the public’s best interest, but has faced criticism from the Coalition, the tourism industry, and various business organisations as well as aviation experts.

While it has yet to provide a clear reason for declining the request, Assistant Treasurer Stephen Jones said the decision was made to safeguard the “national interest” and support Qantas’ profitability. However, Jones has since revoked the latter reason.

Deputy Leader of the Opposition in the Senate Michaelia Cash criticised Anthony Albanese alleging that the prime minister is prioritising the interests of his “mates in Qantas.”

Cash urged Albanese to take actions in the best interest of the Australian public and to declare a review of the contentious decision when parliament convenes on Monday.

“Mr Albanese has been unable, to date, to explain to the Australian people why he believes it’s in the national interest not to reduce airfares, why he believes it’s not in the national interest to get our farmers’ produce on planes and get it out of this country, and why it’s in the national interest to not bring more consumers and tourists into this country, to help our ailing tourism and hospitality industries,” Cash told Today Show.

“So Mr Albanese, we all expect you today, on behalf of the Australian people, stand up and announce the review … For once, as the prime minister, act in the best interests of Australia, and not your mates in Qantas.”

Separately, Nationals senator Bridget McKenzie expressed that a significant number of individuals were “incredibly disappointed” by the rejection and advocated for a Senate investigation.

“We have seen the Labor Party give seven different reasons as to why they rejected the Qatar application,” McKenzie said.

“What were the criteria the government used to make this decision? Did they consult the ACCC [Australian Competition and Consumer Commission] around the benefit that competition would bring?”

McKenzie suggested that there were indications implying that the government was operating “a protection racket for the most complained about company in this country.”

In July, the government rocked the aviation industry after denying a request from Qatar Airways to introduce an additional 21 flights weekly to Sydney, Melbourne, and Brisbane.

During a Senate committee hearing last week, CEO of Qantas Alan Joyce, expressed concerns that permitting Qatar Airways to introduce additional services would disrupt the market, especially considering the anticipated increase in flights over the next year.

In the same hearing, Joyce detailed that he had sent a letter to the Federal government in October regarding Qatar’s proposal.

Assistant Treasurer Stephen Jones last week cautioned against reducing airfares too significantly, as it could jeopardise the sustainability of the market for existing Australian-based carriers. This is a statement that he later denied as “absolutely taken out of context.”

Meanwhile, the country’s competition watchdog said increasing the number of Qatar Airways flights into Australia would have resulted in more affordable airfares.

Over the weekend, head of the ACCC Gina Cass-Gottlieb maintained that Qatar Airways’ expansion would have led to decreased prices, a prospect she would have “welcomed,” as per reports.

When questioned on RN Breakfast about whether allowing the additional Qatari flights would have resulted in lower airfares, Cass-Gottlieb responded with “yes.”

Cass-Gottlieb further said it was challenging to determine the exact extent to which the airfare prices would have reduced, but referenced Virgin Australia’s projection of a 40% decrease.

Proposed caps on international flights

On Monday, Greens political party announced plans to impose flight restrictions and a curfew on Brisbane Airport, according to reports, which said the move debunks the government generated “national interest” argument.

The developments is likely to have a significant impact on affordability for travellers, as it would include the cancellation of Brisbane’s sole Qatar service and thousands of other flights annually.

Elizabeth Watson-Brown, the Greens’ spokesperson for aviation and a Brisbane-based MP, announced that the proposed bill would be presented during the upcoming parliamentary session.

Under these proposed measures, flight caps would be introduced to limit the number of arrivals and departures to just 45 per hour, which is even less than what Brisbane handled when it operated with a single runway.

The move would also roll out a curfew that would lead to the elimination of a substantial portion of international services and thousands of available seats each week from Brisbane Airport.

“It beggars’ belief, that in the middle of a national debate about Australians accessing affordable air travel, that the Greens would want to slash international services as well as thousands of services to regional Queensland,” according to Stephen Beckett, Head of Public Affairs from Brisbane Airport.

“International airfares are currently up to 50% more expensive than before Covid. Australians now understand that extra capacity forces prices down.”

“Wiping out services from Qatar Airways, Emirates, Cathay Pacific, Singapore, Qantas and Virgin which currently depart after 10pm would hit Queenslanders hard,” he added.

Enforcing restrictions on flight numbers and implementing a curfew would severely harm Queensland’s economy, leading to the loss of 30,000 jobs throughout the state by 2032 and causing a $2.8 billion reduction in economic activity, Beckett detailed.

“It will become more difficult for Queenslanders living in the regions to visit family and friends, travel for holidays, business, or for specialist medical care. Caps and a curfew would mean 3,100 fewer regional flights in Queensland each year which would be a devastating blow to people across the state.”