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Lismore a victim of a commercial war between Rex and Qantas

The Lismore App

Simon Mumford

22 February 2021, 4:02 AM

Lismore a victim of a commercial war between Rex and QantasThe Lismore Regional Airport

An airline battle between Qantas and regional carrier Rex Airlines will lead to Lismore being without any flights from the end of the March if threats are carried out.



In a statement this morning Rex Airlines said it would cease the Sydney to Lismore flights (3 days per per week) as well as Sydney to Grafton (which is included in the Sydney to Lismore schedule), Bathurst and Cooma.


The reason given is that it will put resources into protecting it's monopoly from Qantas on more financial regional sectors after Qantas announced it would enter these routes like Sydney Orange, Merimbula, Griffith and some Melbourne to regional centre flights. Rex claim these destinations are only viable with one airline operator not two.


Rex also announced it would enter into Qantas monopoly territory too, such as Port Macquarie and Coffs Harbour now that Virgin is no longer flying there.


The victim at the end of the day, Lismore. Caught up in a battle between two airlines who accuse each other of "aggressive predatory moves" and the other of having "a classic Rex tantrum".


Both airlines receive Federal Government funding through the Regional Airline Network Support program. This is where the Federal Government subsidise flights into regional airports since COVID decimated domestic travel especially to regional areas. This program is due to end at the end of March.


Lismore City Council has asked Regional Express to re-consider its decision to cease flights between Lismore and Sydney and request our Federal and State Members of Parliament assist us in lobbying REX to re-instate the flights.


Lismore City Mayor Vanessa Ekins said Lismore and REX have had a strong and mutually beneficial relationship over the last 20 years that the airline has serviced our community.

 

“As a measure of goodwill, Lismore City Council waived airport fees during COVID to support the airline through this challenging time for the entire aviation industry,” she said.

 

“The reinstatement of flights is particularly important now as REX’s new routes linking capital cities provides an opportunity for the Lismore community to link their flight to Sydney with connecting flights to other cities.

 

“This will benefit both REX and our community.

 

“Although passenger numbers traveling to and from Lismore have decreased over time due to the expansion of Ballina Airport, numbers in recent years have stabilised and the new route through Grafton has good patronage.

 

“Most Lismore passengers come from the Lismore region and areas to the west of Lismore, and prefer to fly out of Lismore rather than Ballina.

 

“Direct flights to and from Sydney are very important to the Lismore economy. Lismore hosts Southern Cross University, Lismore Base Hospital, regional law courts, regional sports facilities, large events, the tourist hotspot of Nimbin and a significant number of businesses that rely on the airport to stay connected.

 

“The REX passenger flight services also provide jobs for local people such as check-in and baggage handling, cleaning, airport inspectors and refueler as well related service jobs.

 

“The REX flights are also important to get goods in and out or Lismore with a significant volume of freight being transported in the body of the aircraft.

 

“We hope that this situation can be resolved soon.”


Federal Member for Page Kevin Hogan said “It appears Rex has made this decision to divert resources from a number of services, including Lismore and Grafton, to compete against Qantas on the Sydney to Melbourne route."

 

"I will begin working with Councils to attract a new airline to these airports. Whilst the growing success of Ballina and Coffs has put pressure on Lismore and Grafton airports, we believe they are still commercially viable."

 

"Federal Government support through the Regional Airline Network Support (RANS) program is regularly reviewed and extended. There is a review of this program underway right now.”


Unless Rex does change its mind and reverses their decision, it will be a trip to Ballina Airport for every one of us from the end of March.

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