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Launceston Airport says it’s working “pretty closely” with its resident airlines to reintroduce the former Bonza route to the Sunshine Coast.
Speaking to The Australian Financial Review, chief executive Shane O’Hare argued many of the former carrier’s services were “real goers” and the company’s troubles stemmed from its investor, 777 Partners.
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“Network planners are very, very conservative in airlines, so they’ve almost got to see it to believe it,” he said.
“They’ve already launched Sunshine Coast-Cairns, for example, where Jetstar has just stepped in. These were routes that were actually performing very well during the short stint of Bonza.”
Bonza was liquidated in July last year after accumulating losses of more than $133 million and having all of its aircraft repossessed.
The airline uniquely operated a ‘point-to-point’ network, flying mostly between smaller holiday destinations in different states, effectively skipping the capital city layover.
Already, Jetstar has moved into the former Bonza route between Cairns and the Sunshine Coast, and there are rumours that it could add another between Toowoomba and Melbourne.
Before launch, Australia’s traditional airlines poured scorn on the idea that point-to-point routes could work, though Bonza’s CEO, Tim Jordan, insisted it was impossible to gauge demand until a route is actually established.
Despite its financial failure, Bonza was reportedly averaging load factors of around 70 per cent across its 186-seat 737 MAX 8.
In its report on the carrier’s liquidation, administrator Hall Chadwick appeared to at least partially blame the airline’s parent company.
“The funding advances from 777 Partners were paid sporadically, delayed and were ultimately insufficient for the level of funding required to adequately maintain the Company’s operations,” the administrator wrote.
“Whilst 777 Partners did provide funding, the funding was insufficient for the level of debt incurred, which continued to increase, particularly from November 2023 to the date of our appointment.”
Meanwhile, Australian Aviation reported in November how design and planning work is underway for a new $21.3 million Royal Flying Doctor Service (RFDS) base at Launceston Airport.
The redevelopment, supported by the Tasmanian and Commonwealth governments and set to open in 2027, would increase capacity for both fixed and rotary aircraft and was an election promise from Premier Jeremy Rockliff’s victorious Liberal government in March this year.
The state government has contributed $6 million to the project, with another $15 million coming from the federal government.
The new base will increase space for ground transfers, as well as for surge workers during events such as infectious disease outbreaks or firefighting efforts during bushfires. It will also enable RFDS to increase its outreach support, including mobile services for GPs and mental and dental health, the government said.
