Rex - Regional Express (ZL, Wagga Wagga) has expressed disappointment with the Australian government's decision to allocate AUD1million (USD0.907million) to subsidize domestic air routes under its new Enroute Charges Payment Scheme. The scheme aims to support low volume and new routes to small and remote communities while continuing to provide reimbursement of enroute charges for aeromedical services to regional and remote areas. Routes eligible for the scheme are those which see no more than 15,000 passengers per annum using aircraft with a maximum take-off weight of 15 tonnes.
In a statement, airline COO Neville Howell said the funds allocated under the scheme were not sufficient given the current tough economic climate.
“The amount allocated by the Federal Government to the new Enroute Charges Payment Scheme represents only 15% of the assistance given under the previous scheme. Furthermore, the low threshold of 15,000 passengers per annum means that most of Australia's regional routes are not eligible for the rebate,” he said. “It is disappointing that the government is doing so little to help regional aviation when 16 regional airlines have collapsed in the last 12 years. Given the current aviation crisis in this country, more will collapse, and the token amounts will not stem the permanent loss of regional services to many parts of regional Australia.”
Despite its disapproval of the scheme's funding, REX has said it will consider whether or not to submit an application for it routes should they qualify.
In conjunction with its subsidiaries Pel-Air Aviation (PFY, Sydney Kingsford Smith) and Air Link (LZ, Dubbo), REX is Australia's largest independent domestic airline operating a fleet of forty-seven Saab 340Bs on some 1,300 weekly flights to 36 destinations throughout New South Wales, Victoria, Tasmania, South Australia and Queensland.
