Teal MP Monique Ryan has called for mandatory compensation for passengers stranded in airports after their flight has been cancelled as she unleashes on Australia’s major airlines.
Dr Ryan said she had been very frustrated at the airline duopoly in the domestic market which had led to overpriced flights and “really poor service”.
The independent MP for Kooyong called on the competition and consumer watchdog to crackdown on domestic airline companies for “hogging the airports” by claiming flight slots before cancelling them to stop competitors from having access.
“They’re the mafia of the skies which might be a little contentious but I think we all get a little bit frustrated when you’re sitting in the airport waiting to get home,” Dr Ryan told 3AW on Friday.
3AW radio host Neil Mitchell cited Sydney Airport Chief Executive Geoff Culbert who reported the shocking number of flights cancelled by each of the major operators.
Jetstar cancelled 9.9 per cent of its flights, while Virgin axed 9.3 per cent, Qantas 7.4 per cent and Rex Airlines zero.
“What’s that about?” Mitchell asked.
Dr Ryan said none of the sudden cancellations could be attributed to “problems with air traffic control or weather”.
“It really does seem, as Geoff Culbert has said, airlines are putting their hands up for slots and they say they’re going to use them but they have no real intention of using them,” she said.
“The reason why they put their hands up for them is so they want to stop other people from having access to their slots.
“So essentially, they’re blocking those slots so their competition can’t get them… It’s a really cynical way of hogging the airports essentially and that’s at all of our expense.”
Dr Ryan then referred to calls from the the ACCC, Choice and the Australian Lawyer’s Association for the government to implement a compensation scheme which had been “quite effective” in Europe and other international markets.
“If the airlines cancel your flight or delay your flight you get compensation, and the compensation you receive reflects the length of the delay and how long your flight was,” she said.
Without explicitly mentioning Qantas or Virgin, Dr Ryan said domestic airlines have been “taking advantage of the fact there is a duopoly in the domestic airline market”.
“Rex and Bonza are not big enough yet to compete, and so they (the larger airlines) can do what they will, and … the consumer organisations, the ACCC, needs to be able to hold them to account for this,” Ms Ryan said.
Flight Centre co-founder Graham Turner this week expressed his concerns that the increased flight cancellations were hurting tourism by causing capacity shortages and higher airfares in the international market.
Australians looking to head overseas – and tourists hoping to holiday in Australia – have been met with massive increases in flight costs in recent years, with the government being called to answer why it did not approve Qatar Airways’ request for more runway spots.
The move has been criticised for potentially weakening competition in the sector and therefore driving up airfares.
Dr Ryan questioned the government’s decision and called for more action to increase competition in the market.
“We do need people coming into this country, we need more tourists coming in,” she said.
Most Australian airlines do offer compensation to customers if a flight is cancelled or delayed which may include accommodation and meal costs.
Travellers flying with Qantas may receive a refund or other recompense, but the airline says this is determined by the individual circumstances.