Anger is bubbling in the north-west over the state government’s decision to let airlines slug them with higher fares when their flights are busy.
Anger is bubbling in the north-west over the state government’s decision to let airlines slug them with higher fares when their flights are busy.
Under the watered-down regional airfare caps policy coming into effect from July 1 airlines will be allowed to charge higher fares at times they deem to be in demand.
Low demand fares will remain at $299 each way in the north-west, while high demand fares will be capped at $385 each way.
Prior to 2017 return flights from the north-west often cost more than $1,000.
Qantas and Virgin have both confirmed to Business News that in-demand FIFO flights and those during tourism season may fall under their scope for the higher price.
The state government had originally said the higher price would likely be limited to school and public holiday flights, and last-minute bookings.
WA Transport Minister Rita Saffioti said the policy delivered cost-of-living relief for regional residents.
“These changes to our landmark Regional Airfare Zone Cap Scheme mean it will continue, and we can provide peace of mind to WA families that affordable airfares are here to stay,” she said.
“Without it, some regional residents could have been paying more than a thousand dollars to travel to Perth to see loved ones, healthcare professionals or access essential services.
“Changes to the scheme are also driving competition among airlines, with some already setting fares below the maximum caps for certain routes, offering more savings for regional residents.”
Business News has spoken to many business owners and representative groups in the Kimberley and Pilbara in recent days, all of whom said the change would hurt cost-of-living.
A petition to parliament has garnered about 9,000 signatures and a protest will be held in Karratha on Sunday.
Petition organiser and Karratha resident Helen Hall said prior to the introduction of the airfares caps it was possible to book early tickets for under $400 return.
“Everyone here is pretty angry,” Ms Hall said.
“We would like lower cap fares, but if they're going to do something decent… I really don't see why we can't have lower fares for all Western Australia.
“A lot of royalties come out of the Pilbara; we do keep the nation afloat so I think we should be getting a fairer deal.”
Ms Hall said a return to variable pricing at fares similar to those available on the east coast would be the best outcome for the region.
Airnorth, Nexus, Skippers Aviation and Rex are also participants in the airfares cap.
