Airlines Set Up Australia, New Zealand Lobby Group

The biggest airlines in Australia and New Zealand have set up an industry group to lobby on industry issues such as airport costs, taxation and fees.

Airlines for Australia and New Zealand (A4ANZ) has been formed by Australian carriers Qantas, Regional Express and Virgin Australia, plus Air New Zealand.

The lobby group will be chaired by the former head of the Australian Competition and Consumer Commission, Graeme Samuel.

The airlines have long complained of escalating costs at airports. Australia’s competition watchdog, the ACCC, released a report this week saying that the country’s four biggest airports, Sydney, Melbourne, Perth, and Brisbane, collected AUD$1.57 billion (USD$1.18 billion) more revenue in real terms from airlines over the past decade.

“Airport fees and charges continue to increase while airlines are offering fares at levels significantly cheaper than they were over a decade ago. A4ANZ’s goal is to achieve regulatory reform that will promote a competitive and sustainable airline industry,” Qantas chief executive Alan Joyce said.

Air New Zealand chief executive Christopher Luxon said: “To be competitive we must continue to improve cost and quality in all parts of the travel experience but we are constrained by a legacy of under investment and over recovery at key airports. A4ANZ will add its voice to that ambition.”

The formation of A4ANZ follows similar moves in the United States and Europe as airlines seek a more powerful voice.