Flights between Sydney and Western Australia’s South West have been suspended amid rising fuel costs due to the war in the Middle East.
Jetstar has announced it will halt its Busselton to Sydney service from June until September 22.
The first direct flight between WA’s premier food and wine region and Sydney was launched in 2024.
A Qantas Group spokesperson said there had not been enough demand to support the service.
Local authorities had hoped the route would boost the numbers of international tourists travelling to WA’s South West. (AAP: Angela Brkic)
“We know this is frustrating for customers and we look forward to restarting the service later this year,” the spokesperson said.
Increasing fuel costs have forced the airline to reduce domestic capacity by 5 per cent between May 18 and the end of June.
The company’s fuel bill is tipped to increase by $600–$800 million in the first half of this year.
The spokesperson said impacted customers would be contacted directly and rebooked via alternative routes or offered a refund.
“The group continues to closely monitor the impact from the conflict in the Middle East and may further adjust capacity and fares over time,” the Qantas Group spokesperson said.
The airline will continue to offer three direct flights per week between Melbourne and Busselton, with Qantas’s charter operations supporting the mining industry not affected by the cuts.
Multi-million-dollar investment in the airport has been a crucial element in boosting the South West’s international visitor numbers. (ABC News: Bridget McArthur)
With international and interstate visitors generally staying longer and spending more than local visitors, the suspension is a blow to the region’s operators.
Blow for local tourism
Margaret River Busselton Tourism Association chief executive Sharna Kearney said there had been strong demand for the Sydney–Busselton service.
“Those flights bring in about 500 people to our region each week, which is really important over those winter months,” Ms Kearney said.
“It’s typically one of the quietest periods of the year; occupancy is typically running between 30 and 50 per cent.
Sharna Kearney says demand for the Busselton–Sydney flights has been strong. (ABC South West WA: Georgia Loney)
“So any loss in visitors is going to be acutely felt by the industry.”
She said the route’s suspension reflected the global impact of the ongoing fuel crisis, rather than the route’s future viability.
“We know there were very few seats available on those flights going in and out of the region,” Ms Kearney said.
“We want to see the flight reinstated as soon as it’s practical.”
Airlines shifting resources
Aviation analyst Ellis Taylor said it was an unsurprising move, with the network deploying its domestic resources to more profitable international routes.
With winter the South West’s off-peak season, he expected the suspension’s overall impact on tourism to be limited.
“In the current circumstances, airlines around the world are taking a look at their schedules and working out which flights aren’t making money,” he said.
“[Sydney–Busselton] started as a seasonal service where they were trying it out, and it had been quite successful.
“From the sums they’re looking at, it’s probably not stacking up at this point in time.”
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