Australia proposes to authorize Virgin Australia and Qatar Airways partnership
The Australian Competition and Consumer Commission announced that it is proposing to grant authorization to Virgin Australia and Qatar Airways’ alliance.
The authorization will allow the two airlines to engage in cooperative conduct under an integrated alliance for five years.
The carriers are seeking authorization to engage in an integrated alliance where Virgin Australia, in partnership with Qatar Airways, will commence 28 new weekly return services between Doha’s Hamad International Airport (DOH) and Perth Airport (PER), Brisbane Airport (BNE), Sydney Kingsford Smith Airport (SYD) and Melbourne Airport (MEL).
The proposed arrangements state that Virgin Australia would use Qatar Airways’ aircraft and crew to operate the new services under a wet lease agreement.
The ACCC said it considers the proposal to be under “cooperative conduct” and is likely to result in public benefits and public detriment resulting from the arrangement is “unlikely.”
We’re proposing to allow Virgin Australia and Qatar Airways to enter an integrated alliance and commence services between Doha and Perth, Brisbane, Sydney and Melbourne for 5 years. Interested parties can make submissions by 7 March 2025. https://t.co/VIUErIjTF1 pic.twitter.com/knAANVuD8X— ACCC (@acccgovau) February 17, 2025 “We consider that the proposed cooperative conduct would likely result in several public benefits including providing enhanced products and services for air travellers which would include increased choice of international flights, with additional connectivity, convenience and loyalty program benefits for consumers,” said ACCC Commissioner Anna Brakey.
“We consider that Virgin Australia is unlikely to commence operating long-haul international services between Australia and the Middle East on a stand-alone basis in the next five years,” Brakey added.
“In those circumstances, we do not consider that there is likely to be a material detrimental impact on the Australian aviation workforce as a result of the conduct,” she further stated.
The proposed alliance is subject to final regulatory approvals by the ACCC and other government bodies. The ACCC is now seeking feedback on this draft determination before it makes a final decision.
The ACCC granted the two carriers an interim agreement in November 2024, allowing the airlines to promote and sell 28 weekly round-trip flights between Doha and Brisbane, Melbourne, Perth and Sydney.
RELATED
ACCC gives interim approval for Virgin Australia-Qatar Airways alliance
The post Australia proposes to authorize Virgin Australia and Qatar Airways partnership appeared first on AeroTime.
The Australian Competition and Consumer Commission announced that it is proposing to grant authorization to Virgin Australia and…
The post Australia proposes to authorize Virgin Australia and Qatar Airways partnership appeared first on AeroTime.
