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Qantas and Virgin Australia are facing accusations of price gouging in the Northern Territory, with suggestions Darwin Airport’s fees are partially to blame.
Interstate return airfares to and from Darwin can cost up to $1,500, ABC’s Stateline reported this week, with customers reporting high prices even when booking half a year in advance. Both major airlines have denied they are gouging passengers.
Qantas, which flies daily daytime flights from Darwin to all major capitals except Melbourne and Canberra alongside Jetstar services to Adelaide, said it understands the “critical importance of affordable air travel for maintaining the region’s connectivity and liveability”.
“While we always try to offer great value, the Territory’s relatively small population base, distance from other Australian capital cities and seasonality means average airfares will be comparatively higher. This also makes scheduling challenging,” a Qantas Group spokesperson said.
“Ongoing runway works have also meant some aircraft have restrictions on the number of passengers they can carry which can also impact fares.
“Despite that, we’re doing what we can to support the Top End through bringing on additional capacity, launching new services and introducing new aircraft.”
For its part, Virgin has pointed the finger at Darwin Airport operator Airport Development Group (ADG), which was warned by the former NT government earlier this year over “excessive charges”.
“Darwin Airport’s plans to double passenger charges over the next three years will continue to put pressure on airfares and will not incentivise airlines to grow services to Darwin,” a Virgin spokesperson said.
“We expect the airport to be operated in an efficient and cost-effective manner and that the level of capital spend is appropriate and optimised to customer demand.
“While we are laser-focused on delivering the best possible value to our customers, it is increasingly difficult to prevent the high cost of operating at Darwin Airport from being felt by travellers.”
ADG has defended its pricing structure, with executive general manager Rob Porter saying the fees are needed to pay for upgrades to runways and infrastructure.
“There’s a level of acceptance from airlines that that’s the cost of flying to the NT,” he told the ABC.
“I don’t see our charges having any impact on the prices that are being charged … in some instances, the cost of doing business up here, and the reasons for travel, I could make it free on some occasions, and [the airlines] still wouldn’t come.”
Darwin Airport last year opened a $30 million “airport resort” and released its 2023 Master Plan, which will provide a 20-year road map for land use as well as the development of new and existing facilities.
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says:We appear to have an interesting scenario here at DRW. Documents indicate that the airport is owned by the RAAF with the “operator” being the Darwin International Airport P/L. We all know of the military importance to this country that is DRW and now virtually owned by our friends in the USA so, why is the private sector apparently paying for runway and infrastructure upgrades and by all counts recharging our domestic airline operators (and us) when the main users of it are both ours and various other countries military? Something is wrong here! and needs explaining!
Mark Brand
says:In my view it’s far from being infrastructure charges and passenger movement fees. I was blown away by the cost of recent travel between Brisbane and Darwin. What used to be (for daytime services) deemed expensive at $400-600 each way has become $1100-1400 ONE WAY. And that’s pretty much any weekday……..1-4 weeks ahead…….with either carrier. My last flight was booked Brisbane-Alice-Darwin because it was $1342 direct and ‘just’ $730 via ASP. The price paid…….5 hours in Alice Springs.
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says:Hi Mark and yes, someone once said, “please explain”
Geoff Fairless
says:I think you have hit on a larger problem. That is our simplistic idea that a military base that operates aeroplanes can automatically become a civil airport. Both occupants will grow overtime and begin to compete for the available airspace and bitumen.
To begin with the RAAF will obviously be the major operator but Darwin, Townsville and Williamstown are all being overwhelmed by civil movements. This leads to an imbalance in safety management because military standards are not the same as civil; this includes basic design, specifications and air traffic control rules and practises.
Civil operations are supposed to be regulated by CASA, and civil aircraft require dispensations to operate into military aerodromes. The best example I can give is that CASA allows RAAF ATC to operate civil designated Class C airspace without anything except cursory oversight. That cursory oversight was the result of ATSB concern over poor ATC procedures in Darwin, before that there was nothing.
Our government needs to invest in civil airports for Darwin, Townsville and Newcastle to allow the RAAF to get back to what they are supposed to operating, a military airport. Sharing a facility built to military standards and staffed by young military ATC officers, taught to facilitate jet fighters, bombers and drones, is not going to enhance the safety of civilian air travel.
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says:This whole situation is a complete mess on so many fronts at DRW.So we have Darwin Airport owned by the RAAF, when the Airforce actively use in tandem with Tidal RAAF Katherine some 300 + kilometres away, but wanting a say in how to run the Airport, but we have a situation in other parts of the country at Townsville QLD,& Williamtown,(a busy fighter base) at Newcastle NSW,and still managing to work together with the Domestic Airlines. Then we have an Operator named Darwin International Airport Pty Ltd running the Airport. I agree it is extremely important to keep the Airforce presence in Darwin, and the Top end at all costs for our frontline of defence, and for Defence Jobs, and Accommodation. Then we have the Operator Darwin International Airport P/L slugging & charging all the Domestic Airlines,Qantas,Virgin,& Jetstar through the roof to pay for the Runway improvements and extensions, then starting a blame game with Airfares becoming unaffordable with the pass on effect of the Runway modifications & Airline Price Gouging. Finally, the big loser out of all of this is the travelling public & Tourism. Lack of daytime flights. Darwin is serviced by one Return flight to Sydney, Qantas & Virgin, JetStar. One Brisbane return, Qantas, Virgin, & JetStar. One Jetstar Adelaide Return. One shuttle Adalaide/Alice Springs/Darwin & charge massive fares! Travellers have been forced to pay fares up to more than $1,400 return!!Maybe a Daily Return from Perth with Qantas & Virgin. I remember last time I travelled to Darwin direct from Melbourne, before COVID it was just over $600 return with Qantas. How times have changed!!!& that was during the Day!!I have travelled to Darwin Direct from Melbourne, (We have No Direct Return Day flights to Darwin), but I simply Hate flying in the middle of the night! There needs to be some explanations and sorting out!!!