Statement on Rex Airlines

Regional Capitals Australia is today renewing our calls for the Federal Government to formally recognise the vulnerability of regional aviation and act to ensure regional routes operated by Rex Airlines continue.

Today’s call comes in the face of news that Rex Airlines has  appointed voluntary administrators and suspended operations between major cities.
 
RCA Chair and Mayor of Albury City Council, Cr Kylie King stated that airlines that service regional Australia, in a cost competitive nature, are fundamental to the success of regional capital cities. 

“Regional airlines support a range of industries to thrive including tourism, mining, construction and broader professional services,” Cr King said.

“Regional aviation connects people living in regional capital cities to better health and education services,” Cr King continued.

Today’s developments by also means that regional airports, which have made costly adjustments to accommodate new services through infrastructure upgrades, increased security measures and staffing are at risk of being left stranded with empty departure gates.

Almost 60% of regional airports operate at a loss, burdened by overwhelming regulatory and security costs and inadequate support for infrastructure funding.

In April this year Regional Capitals Australia warned that Bonza was unlikely to be the last airline that will face challenging economic circumstances. 

“Recognising the urgency of this challenge, Regional Capitals Australia has put clear recommendations to the Federal Government as part of the Aviation White Paper consultation to sufficiently fund regional airports, reduce the burden of security costs and improve the competitiveness of regional aviation,” Cr King said.

“Supporting regional aviation should be a national priority, one that allows for equality of opportunity to be connected – regardless of where you live,” Cr King concluded.