Gold Coast Airport ‘sweetheart’ deals raise concern for Bonza

The honeymoon is over for Bonza as the end of sweetheart deals with Aussie airports looms as another hurdle for the besieged budget airline.

The honeymoon is over for Bonza as the end of sweetheart deals with Aussie airports looms as another hurdle for the besieged budget airline.

Bonza’s launch last year came amid much excitement of a game-changing entry into the Australian aviation sector, but the airline has since been rocked by a series of controversies damaging customer confidence.

Delayed approval from regulators, flight cancellations, last-minute schedule changes, planes sitting idle on airport runways and speculation about the operations of parent company 777 Partners have plagued Bonza in recent months.

Now the airline is facing a fresh challenge, with Bonza negotiating deals over the expensive airport charges required to be allowed to operate from the nation’s airports.

It is understood several airports gave Bonza “sweetheart” start-up deals with generous concessions on the charges and fees that typically make up one of the biggest costs facing airlines, but those discounted rates will not last indefinitely.

Bonza does not fly into Brisbane or Sydney airports, but has attempted to carve out a niche to regional destinations throughout Queensland and across the east coast, as well as flying into Melbourne. The Sunshine Coast has so far been a major success for Bonza, but the airline’s foray into the Gold Coast has been turbulent with schedule changes a main gripe for customers who have had to cancel holidays, book flights with rival airlines, or stump up for last-minute car hire and hotel bookings after their destination was changed.

A plane from sister airline Flair also sat idly on the Gold Coast Airport tarmac for weeks while Bonza waited for approval from the Civil Aviation Safety Authority.

In a statement, a Bonza spokesperson declined to confirm details surrounding new airport charge agreements but said: “We value all our airport partners who share our mission to connect more Aussies to their backyard than ever before.”

“We remain committed to providing affordable and accessible air travel so that more Australians can experience their beautiful backyard,” the statement said.

“Acknowledging the Gold Coast had a challenging start, it’s very promising to see the routes we fly are wanted by customers, especially given eight of the eleven routes are brand new to the market.

Bonza plane sitting on the tarmac at Gold Coast Airport in 2023.

“This demonstrates that the Bonza model offering direct low cost air travel to undeserved or unserved markets is needed by the Gold Coast and will continue to grow and benefit Aussie travellers, their communities and local economies. “

The spokesperson said there were no plans to cancel any of Bonza’s current routes but services and flight frequency would be adjusted “to right size supply with demand”.

“It’s standard practice within aviation, as with most industries, that a route/product needs to reflect the market demand and as such we’re adjusting our current capacity out of the Gold Coast,” the statement said.

Despite the airline’s troubles, many in the aviation and tourism sectors have backed Bonza to bounce back as increased competition is essential for stimulating travel.

A spokesperson for Melbourne Airport said they were “proud to be the only capital city destination served by Bonza.”

“We are very supportive of Bonza and the role it has played in increasing choice for Australians and connecting people around the country,” the spokesperson said.

A spokesperson for Queensland Airports Limited, which operates facilities on the Gold Coast, Townsville and Mount Isa served by Bonza, said they “remained committed to partnering with” the airline.

“As an airport operator, Queensland Airports Limited strongly believes in the importance of airline competition in Australia,” the spokesperson said in a statement.

“We support Bonza’s mission to make air travel more affordable and accessible to all of the country.”

Queensland Tourism Industry Council CEO Brett Fraser said a successful Bonza would be good for the state’s travel sector.

“Getting new airlines off the ground is not easy,” he said.

“Bonza has come into the market and offered really competitive fares, including to destinations that people might not have otherwise gone to and that kind of exposure and connectivity is really important for the tourism industry.”