Dubbo travellers uncertain of future as Rex Group enters administration
Country flyers have expressed uncertainty about future flights as a regional airline has entered administration. Here’s the latest.
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Frequent flyers in the state’s central west are concerned for the future of regional travel as Rex Airlines goes into voluntary administration.
In a statement on its website, Regional Express Holdings (Rex) announced the airline had entered voluntary administration on Tuesday and have cancelled all Rex domestic flights between major cities.
“All regional planes are still flying as scheduled,” the statement said.
Regional Cities NSW chair and Dubbo mayor Mathew Dickerson told this publication that the potential impact on regional locations is “significant”.
“Rex serves an incredibly important role to deliver flight services to many regional locations, probably 13 or more regional locations that Rex flies into, and they provide essential services to those in terms of medical professional services, people going on holidays and many other reasons,” Mr Dickerson said.
“In many of those places they’re [Rex] in a competitive environment, but in some, they’re the sole operator.
“So, if Rex did actually get to the stage where they went broke, then that would have a major impact on regional locations and the transport options in those regional locations.”
Mr Dickerson said the competition of two or more airlines was crucial for financial and frequency impact.
“In Dubbo we had more than 195,000 people go through the airport in the last financial year and it would be difficult for a single airline to ramp up to be able to address those needs,” he said.
“For some of those regional locations that only have Rex alone, that’s obviously a much more worrying prospect about having no airline.”
Dubbo flyer Sabrina Graesser said she was “anxious” to book future flights with the airline as she was not certain of what to expect when it came to regional flights.
“With the cost of living at the moment the Rex flights are cheaper than Qantas, but you've got the inconvenience of stopping to pick up passengers in Orange,” Ms Graesser said.
Ms Graesser said if more flights were cut between regional cities, she would opt for flying with Qantas as the flights were shorter than flying between towns on the way to Sydney.
Virgin Australia has made an offer to honour all prepaid tickets for Rex’s direct services between domestic capital cities, at no additional cost to passengers.