Regional Aviation Association of Australia (RAAA) president Jim Davis has heaped praise on the Federal Government over its $198 million package for regional airlines.
The support package is for route subsidies designed to provide a reduced service for those regional communities that are in danger of losing their current scheduled air service, plus an additional $100m in direct financial support for smaller airlines.
The funding was announced late last week by Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development Michael McCormack.
"This package guarantees core routes for domestic air freight will remain open and essential workers remain employed, while providing vital financial support for airlines servicing regional and remote locations,” McCormack said.
“More than 100 regional and remote airports received a scheduled passenger service last month and this funding will be welcome news for the aviation workforce and the broader communities these services support.
“The funding will ensure regional communities benefit from an ongoing airline service by underwriting airlines’ operating costs on selected routes.
In a statement made this week, Davis said the initiative could save regional airline services in Australia.
“[the] announcement from the Deputy Prime Minister means a lifeline has been given to regional operators and the essential air services that they provide.
“The damage caused by the COVID-19 virus to a fragile industry is extraordinary and many important regional aviation businesses including tourist operators and flying schools that provide essential services will not survive.
"However it is highly gratifying that the government has listened carefully to the industry’s concerns and has moved to ensure that a nucleus of regional air services will remain to rebuild with once this crisis has passed.
"Without that timely action many essential regional air services would have been lost forever."
Australia currently has 12 independent regional airlines that stand to benefit from the grants. Airlines, contracted aero-medical providers and a range of other essential service providers can apply for for assistance on a month-by-month basis through to 30 September 2020.