Anne Webster (Mallee, National Party, Shadow Minister for Regional Development, Local Government and Territories) Share this | Hansard source

I move:

That this House:

(1) notes that:

(a) under the Government two regional airlines have collapsed and the domestic aviation sector has become more concentrated with just two airline groups representing 98.3 per cent of the market;

(b) major airlines have centralised activities, withdrawing staff, service provision and investment from the regions, closing bases and maintenance facilities in Mildura, Tamworth, Hobart and Canberra;

(c) the Government has committed up to $160 million to extend the Regional Express airline in administration but remains unable to guarantee regional services or affordability, nor whether regional creditors will be paid;

(d) programs to support regional airlines investing in capital upgrades and security screening services have been withdrawn; and

(e) the Government has botched the transition of air services for Australia's island territories; and

(2) calls upon the Government to ensure regional Australians retain access to competitive, affordable, sustainable and safe aviation services.

Air travel is part and parcel of life in regional Australia. My home town of Mildura is the most remote regional centre in Victoria. It is more than six hours drive from Melbourne and almost 4½ hours drive from Adelaide. Sunraysia's geographical isolation means that there are many instances where road travel takes far too long, is just not appropriate and, can I say, dangerous. Air travel is essential not least to access health care and to visit family and friends but also as a connector and driver for our regional businesses and economies.

Under this Labor government, two regional airlines, Bonza and Regional Express, have collapsed, leaving the domestic aviation sector more concentrated than ever. Nationally, just two airline groups, Qantas and Virgin, now represent 98.3 per cent of the market, according to the latest data. This duopoly strangles competition, drives up fares and abandons regional routes to the whims of big city boardrooms. Not only this; also under Labor's watch, major airlines have ruthlessly centralised activities, withdrawing staff, service provision and investment from the regions.

Qantas is closing bases and maintenance facilities in Mildura, Tamworth, Hobart and Canberra. In Mildura, Qantas confirmed on 1 October 2025 that it would shut its longstanding pilot and cabin crew base, forcing dozens of loyal local workers, many with decades of service, to relocate to Melbourne, Sydney or Brisbane or lose their jobs. This is not progress. It is the deliberate hollowing out of regional Australia. As I said directly to Qantas Link, this decision is a profound insult to the Sunraysia community that has supported Qantas for generations. The government has committed up to $160 million to prop up Rex in administration, yet it remains utterly unable to guarantee ongoing regional services, affordability for passengers or even whether regional creditors, including airports like Mildura, will ever be paid. Instead, we have a Commonwealth grant program, where creditors might hope to be paid.

Under Labor, programs designed to support regional airlines with capital upgrades and security screening have been withdrawn without any explanation. And let us not forget how this Labor government has botched the transition of air services for Australia's island territories, including the handover from Virgin Australia to Qantas for Christmas and Cocos (Keeling) Islands, which commenced only on 3 November 2025 after Virgin services ended on 31 October. This chaotic switchover risked stranding remote communities, disrupted essential freight and passenger links and has had financial implications for small island businesses who have contacted me. One stakeholder told me recently about events on Monday 17 November:

… weather stopped Qantas departing, but then all the passengers were effectively left without accommodation. They used to get sent to the ABF accommodation on the island, but this time.. nothing. … sadly- large groups of people, who just experienced a world event of the crab spawning, nature's greatest migration, will only talk about Christmas Island and being delayed, no food at the airport (as Commonwealth won't sign a lease with a supplier) with no accommodation, transport and pouring rain. One of the tour operators ferried people to a restaurant and another purchased food for 30 people! … and the next morning provided a tea and coffee urn.

Labor's mismanagement of the flight arrangements to these remote islands yet again highlights this government's inability to manage critical aviation lifelines for our most isolated Australians. The ACCC has repeatedly warned of the dangers of our concentrated airline market—sky-high fares on regional routes, frequent cancellations and reduced reliability. The human cost is devastating: Mildura's patients missing critical medical appointments in Melbourne, businesses struggling to attract staff and families separated by unaffordable flights. These services are not a luxury. They are essential. (Time expired)

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