Description of Conduct

On 23 March 2020, Regional Express Pty Ltd (Rex) applied for authorisation to coordinate flight schedules with Qantas Airways Limited (QantasLink) and Virgin Australia Holdings Limited (Virgin Australia) (together, the Participating Airlines), as necessary, to reduce capacity on ten regional routes (the Relevant Routes) and enter into agreements to share revenue on the Relevant Routes as a result of the COVID-19 pandemic (the Proposed Conduct).

Rex also requested interim authorisation to enable the Participating Airlines to engage in the Proposed Conduct while the ACCC is considering the substantive application.

On 26 March 2020, the ACCC granted interim authorisation subject to the condition that if any of the participating airlines agree to coordinate flight schedules and/or share revenue on a Relevant Route while interim authorisation is in effect (Coordinated Flights), the participating airlines must not set a fare for a Coordinated Flight that is higher than the equivalent fare specified in their respective fare schedules in place as at 1 February 2020. Further detail on the ACCC’s decision and the condition of interim authorisation is provided in the Interim Authorisation Statement of Reasons, linked below.

On 30 July 2020, the ACCC issued a draft determination proposing to grant conditional authorisation to the Participating Airlines until 30 June 2021.

On 11 September 2020, the ACCC issued a determination conditionally authorising the Proposed Conduct until 30 June 2021. The determination is available below.

Applicant(s)

  • Regional Express Pty Ltd

Authorisation number(s)

  • AA1000478-1

Applications

Document title Date
Application Received

Submissions - after draft decision

Document title Date
Virgin Australia Pty Limited