Melbourne continues to push for more flights:
MELBOURNE and Brisbane airports are continuing to campaign vigorously for restrictions on international flights to be dropped as the bid for Qantas enters its end game.
The airports’ calls for the Federal Government to allow them to receive extra international flights remains one of the few thorns in the side of Qantas after the competition regulator gave the takeover the go-ahead on Thursday. The Airline Partners Australia consortium behind the $11.1 billion bid for Qantas faces the final regulatory hurdle of the Foreign Investment Review Board, which is assessing the foreign ownership levels in the proposed takeover.
But it remains uncertain if the bid faces a shareholder rejection from fund managers that believe the $5.45 offer price, after the dividend is paid, is too low.
Melbourne and Brisbane airports argue that they face a “capacity crunch” because of limits imposed by international agreements the Federal Government has negotiated with foreign governments.
Implicit in the complaints — although rarely stated publicly — is that the policy gives Qantas preferential treatment.
Brisbane Airport Corporation chief executive Koen Rooijmans says that “if there’s a tendency for Qantas to focus more on Sydney”, rules restricting flights into other airports should be relaxed.
Brisbane forecasts passenger numbers in April will be 8 per cent below numbers in April 2005, with predictions the airport will reach full capacity late this year or early 2008.
Melbourne Airport argues that restrictions are unfair when Melbourne gets only 20 per cent of all international passengers compared with Sydney’s 48 per cent. Melbourne Airport spokesman Geoffrey Conaghan said yesterday: “We have got a number of airlines that want to put more services into Melbourne, but they can’t move quickly.”
Calls for an “open skies” approach from the airports, the Victorian Government and tourism authorities have been made throughout the private equity bid for Qantas, although the argument pre-dates the bid.
But Canberra and Qantas have strongly resisted any move to adopt an “open skies” policy.
By: steve rowell - 8th March 2007 at 04:48
In another blow to Melbourne Etihad has named Sydney as it’s entry port when it starts services on March 26th
They intend to start with three services per week Mondays, Wednesdays and Fridays using Airbus A340-500’s
By: KabirT - 3rd March 2007 at 15:55
well to start… Melbourne will see Indian Airlines soon.
By: mongu - 3rd March 2007 at 14:34
yes!
I agree fully, Melbourne deserves more flights.
I know this is just an aviation forum, but at the risk of getting political I think this is a microcosm for Australian politics in general. Sydney is, to all practical intents and purposes, the national capital. Time for the other cities to be in with a shout.
By: steve rowell - 3rd March 2007 at 00:13
I remember when it was a spotters delight at tulla with the likes of Olympic, KLM, Alitalia, JAT , BA, PAN AM, American, Continental and so on….now it’s either code sharing or terminating in Sydney
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March 2, 2007 at 5:50 pm