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Aaron Harper calls on Federal Government to bailout Virgin Airways

A Townsville MP has gloved up in the fight for fair air travel competition, looking to help secure the future of the city.

Qld govt hands Virgin Australia $200 million boost

A Townsville MP has gloved up in the fight for fair air travel competition, looking to help secure the future of the city.

The State Government today offered $200 million towards a national support package to help get Virgin get back in the skies after the airline suspended a majority of its flights.

The flight suspensions caused prices to quadruple.

An initial $165 million cash injection allowed flights to and from Townsville to takeoff again with Virgin and Qantas but uncertainty still shrouds Virgin’s future.

MP Aaron Harper said he would put “pressure” on the Federal Government to fund the rest of the national rescue package for Virgin Australia. PICTURE: MATT TAYLOR.
MP Aaron Harper said he would put “pressure” on the Federal Government to fund the rest of the national rescue package for Virgin Australia. PICTURE: MATT TAYLOR.

Thuringowa MP Aaron Harper said he would now apply pressure on the Federal Government to support Virgin Airlines to continue as Australia’s second national carrier.

“I’ve been fighting hard to save Virgin because it’s so crucial to Townsville – so I’m rapt the Palaszczuk Government is putting up $200 million towards a national rescue package,” he said.

“But what is the Federal Government doing? I won’t stop putting pressure on the Morrison Government because Virgin is just too important for Townsville’s future.”

Civic leaders backed the importance of the airline to Townsville. Townsville Enterprise chief executive Patricia O’Callaghan said competition was needed to ensure affordable and efficient services, while Mayor Jenny Hill said the economy would be adversely affected as a result of an airline monopoly in Townsville.

The plea to help the embattled airline comes as Chinese Government-owned airlines look to buy Virgin.

News Corp reported Southern Airlines, China East Airlines and Air China, is understood to be in discussions about purchasing the Queensland-based carrier, but no formal offer has been lodged.

An approach by the Chinese carriers could clear the Morrison Government’s call for Virgin Australia to find a market-led solution to its cash problems instead of relying on a “blank cheque” from taxpayers.

State Development Minister Cameron Dick challenged the Federal Government to support Virgin Airlines, saying it was imperative Australia has two airlines, to support tourism, jobs and regional investment.

“We need the Australian Government to lead a national effort to keep our two great airlines flying,” he said. “We also want to keep the air fair. We know that it can cost up to 25 per cent more to fly on single carrier routes, and we want to avoid that at all costs, when we emerge from this crisis.”

Originally published as Aaron Harper calls on Federal Government to bailout Virgin Airways

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Original URL: https://www.dailytelegraph.com.au/news/townsville/aaron-harper-calls-on-federal-government-to-bailout-virgin-airways/news-story/7b25b05d539843ab253ac85eb35409cc