Direct flights from Adelaide to Los Angeles being spruiked now GlobeLink is dead
Consultants have slammed the brakes on the Marshall Government’s plan to get trucks off suburban roads, saying it should instead turn its eyes to the skies.
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Flights between Los Angeles and Adelaide could give the South Australian economy a $33 million boost and drive up trade to the United States, a report looking into GlobeLink has found.
KPMG, the authors of the business case report that killed off the Liberals big infrastructure plan, have urged the State Government to work with the Adelaide Airport to establish flights to the US West Coast.
The report found the route would be profitable for the airline and stimulate very high value trade in key South Australian products including meat, beverage and prepared foods.
But it would also require some level of SA government intervention to de-risk the start-up period in order to get an international airline to commit to the route.
Support could include revenue guarantees or advertising and marketing for the route, the report said.
The majority of international airfreight is carried in the belly of passenger aircraft but airfreight currently only accounts for 0.1 per cent of freight out of the state each year.
Modelling suggests the state could get a $33 million boost over ten years by creating a link between LA and Adelaide.
The State Government and Adelaide Airport, through spokespeople, have both reiterated a desire to get connecting flights to Los Angeles, but did not outline any additional plans post the release of the report.
A spokesman for the airport said it was in discussions with a number of international carriers about attracting new services to new destinations, including US carriers that a direct service with the US West Coast.
“Adelaide remains under-served to a number of destinations.
“We believe there are also opportunities to attract direct links with new Asian destinations such as Japan, the Philippines, Vietnam, Thailand and India – to name just a few – and to continue to grow our Chinese market.”
The airport is also looking to build additional freight infrastructure to assist our exporters in getting their products to international markets.
“We’re working closely with exporters to develop a dedicated transport, logistics and freight precinct on airport and dedicated freight entrance,” the spokesman said.
KPMG’s report killed off the Liberals infrastructure plan, GlobeLink, that would have included a freight only airport at Monarto.
A State Government spokeswoman said the State Government Tourism Commission is in regular contact with the international aviation industry to secure new routes and opportunities going forward.
“Last year the 25th annual World Routes event was held in Adelaide – 2,000 delegates from airlines, airports, and destinations attending, and elevating Adelaide’s profile among the global aviation community,” she said.
At the time of the event Federal Tourism Minister Simon Birmingham and the local industry said getting direct flights to the US should be a priority.
