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1989 Regional Airline Directory
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Sydney Airport presently poses the greatest single threat to the future of Regional Airlines in Australia.
Three major NSW Regional operators – Aeropelican, Eastern Australia and Hazelton, who between them last year carried nearly 400,000 passengers are facing major problems with operations through Sydney Airport. The continuing Air Traffic Controllers dispute combined with bad weather has resulted in many prospective passengers looking for alternative means of transport. The introduction of the slot system at Sydney has resulted in these airlines having to rethink their schedules in and out of Sydney. Though the Federal Government are talking about a new runway for Sydney that is years away and the problem that faces all operators into Sydney is here and now.
With mainline deregulation less than twelve months away, it is interesting to note how the two major domestic operators are moving in to tie up regional airlines for their on carriage. The main mover has been Australian Airlines, which learned the hard way after its initial move into regional routes with the purchase of Air Queensland. With Air Queensland now closed down and the big money losses behind them, Australian now have two operators working for them in Queensland. Australian Regional Airlines who are wholly owned and Sunstate Airlines in which Australian took a one third share this year. In NSW Australian have a 42% shareholding in Eastern Australia Airlines, who are rapidly heading towards the top of the Regional Airline league. In February Australian signed up Hazelton Airlines who were previously with Ansett. Hazelton are now handled at Sydney Airport by Australian Airlines while their flights are sold through Australian’s reservations system. Hazelton have recently taken delivery of a second Shorts 360-300 and are expanding their operations into Queensland and Victoria. Other operators to recently sign agreements with Australian Airlines are Flinders Island Airlines in Melbourne and Sky-Link Airlines in Adelaide. Though the US system of one code for both the major and regional airline has not reached Australia, we have gone one step closer in that both Eastern Australia and Sunstate are painting their aircraft in Australian colours.
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