ACCC gives Qantas draft green light in Asia
A draft determination yesterday by the Australian Competition and Consumer Commission proposes to give Qantas the green light to co-ordinate flying and other activities with Singapore based Orangestar, the holding company for Jetstar Asia and Valuair.
Qantas owns 44.5% of Orangestar and wants to link the low-cost Asian carrier with its mainline operations in Australia as well as Jetstar International services.
Singapore Airlines backed Tiger Airways opposed the move strongly, arguing that it was anti-competitive and they asked the ACCC to either reject it or impose a number of conditions.
The ACCC responded stating that said the relationship tie-up would result in a net benefit to the public, noting there was limited overlap on routes operated by Qantas and Orangestar and that it did not expect extensive future competition between the two carriers.
The draft determination said, “The ACCC is satisfied that the proposed arrangements are likely to result in a net benefit to the public.” “In particular, the arrangements will increase the efficiency in the operation of Qantas and Orangestar businesses and will enable both airline groups to offer more cost-effective, multi-destination packages to consumers.”
The ACCC is proposing to grant authorisation for five years on condition the airlines do not withdraw from overlapping routes or allocate existing capacity to those routes.
In addition, they are also not allowed to enter into any agreement that prevents either airline from entering routes to or from Australia.
This latest draft determination comes after a conditional interim authorisation in May, which allowed the airlines to begin work on some joint marketing activities such as a joint website.
The next step will be a further round of public consultation before a final decision is issued.
Report by The Mole
John Alwyn-Jones
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
TAP Air Portugal to operate 29 flights due to strike on December 11
Qatar Airways offers flexible payment options for European travellers
Airlines suspend Madagascar services following unrest and army revolt
Air Mauritius reduces frequencies to Europe and Asia for the holiday season
Major rail disruptions around and in Berlin until early 2026