We lose cheap flights
A report in the Daily Telegraph says that passengers are missing out on low-cost airline tickets because of congestion, flight delays and limited terminal availability at Sydney airport.
Singapore-based Tiger Airways has been forced to look at regional locations across NSW because of the lack of financially viable opportunities at Sydney airport.
Low-cost carrier Tiger last month said it would be based at Melbourne Airport, but the airline is battling to gain a foothold into Sydney, the country’s busiest airport.
The airline has claimed it will offer cheaper flights than other budget airlines Qantas-owned Jetstar and rival Virgin Blue when it begins flights in early December, with ticket prices as low as $15 already on offer.
“We are carefully looking at both Sydney and NSW,” Tiger’s chief executive Tony Davis told The Daily Telegraph yesterday.
“The issue for Sydney is that there is clearly a market, there is clearly an opportunity to reduce air fares.”
Mr Davis said Tiger was concerned about the price airlines are charged to use the airport, which has been historically passed on to passengers.
“I know people in NSW are impatient to get their hands on the low fares and we would dearly love to be able to bring our model in to NSW,” he said.
“But we need to make sure that in doing so we don’t destroy the model that creates those low fares.”
“Clearly cost is an issue, congestion is an issue, delays are an issue, terminal capacity is an issue.”
“There is no point us coming to Sydney airport and only operating two or three flights and then being told there is no more space.”
Mr Davis also said yesterday it would not allow web-based businesses like webjet.com.au and cheapflights.com.au to on-sell its tickets, adding, “We are being very dogmatic about how we distribute our tickets in Australia, because the way we are doing it is the lowest possible way.
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