Avalon’s take-off ‘stalled’

Avalon Airport chief Justin Giddings.

By JOHN VAN KLAVEREN

A Federal Government classification of Avalon Airport as a major international gateway is restricting its chances of attracting an international airline.
Avalon is classified at the same level as Melbourne Airport, meaning airlines have restricted capacity compared to regional airfields.
Airports such as Adelaide, Gold Coast, Cairns and Darwin are all classified as regional gateways.
The Federal Government offers incentives to international airlines through the Regional Air Access Package.
Avalon chief Justin Giddings told a Geelong Chamber of Commerce briefing for shadow treasurer Chris Bowen that this was the reason an agreement with a Chinese carrier collapsed.
Mr Giddings said because Avalon faced capacity restrictions because it was classified as a major international gateway.
“Avalon Airport is being held back by bilateral agreements. It killed the memorandum of understanding with Hong Kong airline Hainan,” he said.
The MOU with Hainan in 2011 raised hopes of Avalon going international, with a Federal Government commitment to providing customs and quarantine services.
HNA Group’s Hainan Airlines is China’s fourth largest airline, with nearly 500 aircraft covering more than 570 domestic and international routes.
Mr Giddings said Avalon would be “released” if it was reclassified as a regional airport.
He said the classification was “bureaucratic decision” based on the premise that Avalon served Melbourne.
“It’s not the golden ticket but it is one of those frustrations that would help if it was removed,” Mr Giddings told the Geelong Indy.
“Even if it was for a temporary period or for a maximum number of airlines it would help get things started.
“Most people would consider Avalon as more of a regional airport than Cairns, Adelaide and Gold Coast.
“Yet they have Hong Kong airlines flying in there because they can have capacity but Avalon can’t.”
Mr Giddings said the Government would have to decide if the new Toowoomba airport known as Brisbane West would be classified as regional or not.
“If Toowoomba is going to be regional then we should be as well,” he said.
Both Geelong Chamber of Commerce and G21 have lobbied the Federal Government to re-classify Avalon to make it eligible for benefits associated under the Regional Airport Package.
The priority project includes standardising border agency and Airservices Australia’s charges for Avalon equal to the rates charged at Tullamarine.
“The Federal Government and Airservices Australia should work to ensure Avalon Airport is provided with a fair platform to compete for domestic services,” the project description said.
“This includes ensuring pricing for services such as air traffic control, firefighting services and policing does not adversely impact Avalon Airport.
“The Federal Government can also assist Avalon Airport’s international endeavours by providing appropriate border agency services priced so as not to disadvantage Avalon Airport against its competitors.
“Under current practice some costs would be charged to Avalon Airport or its airlines where this does not occur at Tullamarine Airport.”