Jake Nelson

The agreement will give the airport, currently in the middle of a major redevelopment, funding from the state’s Aviation Attraction Fund (AAF) for two years after the commencement of new routes.

Speaking to news.com.au, Jetstar CEO Stephanie Tully said the low-cost carrier is going through a “big growth phase” and that its fleet renewal program, including the upcoming overhaul and refit of its Dreamliners, will unlock new international markets.

The Gulf carrier says it has not yet determined the end date for the daily 777-300ER flights, which recommenced last year after a three-year COVID-19 hiatus. The airline is not pulling out of Melbourne entirely, with its Dubai services to continue.

In a statement, a spokesperson for Transport Minister Catherine King dismissed Senator Bridget McKenzie’s (pictured) divestiture idea, floated in the Australian Financial Review on Monday morning, as a “thought bubble”.

The Philippines-based low-cost carrier, which currently flies five times per week to Sydney, will increase to daily Sydney services from 1 December.

Writing in the Australian Financial Review, Nationals Senator Bridget McKenzie suggested the Government’s aviation policy is a “protection racket” for Qantas, and said the Treasurer should be able to force divestiture in the aviation sector.