The rejection is thought to have been influenced by strong opposition from Qantas and a major legal issue that occurred at Doha’s Hamad International Airport in 2020, though officials have denied the latter.
Perth Airport has joined growing calls demanding Australia’s federal government to overturn a controversial decision to prohibit Qatar Airways from adding extra flights in other Australian cities.
Perth’s main aviation transport hub is advocating for an open air policy that would allow a greater number of international airlines to operate across the country. Such a move would also significantly reduce airfare expenses between Australia and Europe, and in turn boost traveller demand.
“We would like to understand more around the drivers of these decisions … particularly where we have airlines who have the capacity and the availability to run routes in what are very highly sought after destinations,” acting CEO of Perth Airport Kate Holsgrove told The West Australian.
“We’re keen to see either an increase in the bilateral capacity between a number of countries that are limited at the moment, or moving towards that open sky model.”
Holsgrove’s comments come after the government refused the Gulf carrier’s request to increase its flight capacity into Melbourne, Brisbane, and Sydney with an additional 21 flights a week.
Aviation experts have warned of a negative impact on Australia’s tourism industry, saying it could lose hundreds of millions of dollars each year.
Days earlier, Virgin Australia also requested additional details regarding the rationale behind the government’s decision, considering that the Gulf airline faces fewer limitations in terms of capacity. In 2022, Qatar Airways entered into a code-sharing agreement with Virgin Australia, allowing the two airlines to coordinate flight operations on multiple international routes.
Christian Bennett, Virgin Australia’s Head of Sustainability and Corporate Affairs, expressed disappointment with the decision, warning that it would unintentionally damage Virgin’s market value to the benefit of Qantas.
“The unintended consequence is that it negatively impacts the competitive position of Virgin Australia domestically and internationally in favour of our larger rival,” he said at the Senate inquiry.
Meanwhile, Qantas is said to have actively advocated for the government to restrict Qatar Airways since it first made its request. The national carrier stands to gain from this resolution as it safeguards the company’s market dominance and profit margins.
Holsgrove stressed that the refusal further points to the prioritisation of international flights from airports such as Perth, which experiences fewer limitations in terms of available time slots compared to Sydney and Melbourne.
She said it is crucial for Perth to evolve into the primary aviation hub in the western region of the country, playing a pivotal role in expanding international connectivity to Australia and enhancing the tourism sector.
“We’re closer to 60 percent of the world’s population and we’ve got this really unique opportunity with direct flights across into Europe and certainly across most of Asia,” Holsgrove noted.
Qantas’ routes from Perth to London and Rome have effectively showcased the substantial desire for direct long-haul journeys originating from western Australia, Perth Airport said.
This demand is anticipated to further increase once the carrier’s operations are consolidated within a single terminal.
Unlike major airports in the eastern coast of Australia, which encounter various limitations for evening flights, Perth Airport actually has the capacity to expand night services departing from Australia, the report said.
Holsgrove also noted that additional restrictions are impeding export opportunities for producers and manufacturers in western Australia.
Last week, Qantas CEO Alan Joyce stepped in to down play the ongoing debate surrounding Australia’s rejection of additional Qatar Airways flights, arguing that sky-high airfares have started to moderate.
Joyce’s comments comes after industry insiders claimed adding more Qatar Airways flights into Australia would immediately reduce prices, and appears to be aimed at putting to bed concerns over a lack of supply and rising demand.
Australia’s Shadow Finance Minister Jane Hume also vehemently condemned the federal government of Australia’s rejection of Qatar Airways’ request to increase its flight capacity and said it would aggravate Australia’s cost of living crisis.
The rejection is thought to have been influenced by strong opposition from Qantas and a major legal issue that occurred at Doha’s Hamad International Airport in 2020, though officials have denied the latter.
