Battle for Queensland air routes turns ugly

Rex airlines has accused a Queensland MP of making defamatory and irresponsible comments as a public stoush erupts over the highly prized contract for regulated air routes in the state.

REX Executive chairman John Sharp, left, Robbie Katter, right.

A public stoush has erupted between Regional Express airlines and Queensland MP Robbie Katter over the operation of regulated air routes in the state.

The trigger was an announcement by Cairns-based airline Skytrans that it would fight Rex for the contract to fly government-subsidised routes using their 36-seater Dash-8s from 2022.

Speaking out in favour of Skytrans, Mr Katter, whose seat of Traeger covers many of the communities served by the routes, said performance standards had dropped since Rex took over the flights and complaints had increased.

He said the problem stemmed from Rex’s fleet of Saab 340s which “were built for the northern hemisphere” and sometimes skipped towns if they were running late, blaming “kangaroos on the airstrip”.

“The Saabs are a beautiful aircraft but they’re not built for these milk runs,” Mr Katter said on Monday.

Queensland MP Robbie Katter

“The ignition system overheats in the hot conditions and they’re often stuck on the tarmac for half an hour, waiting for the battery to cool down.”

Mr Katter also questioned Rex’s commitment to the regional communities their flights served, pointing out Skytrans “sponsored everything”.

“Rex is invisible as a corporate citizen. They provide some sponsorship for the (Mt Isa) rodeo and that’s all,” he said.

The remarks infuriated Rex deputy chairman John Sharp who fired off an open letter to Queensland communities on Monday accusing Mr Katter of irresponsible and defamatory comments.

Mr Sharp accused Mr Katter of bias and said Rex was “compelled to set the record straight”.

“Rex is extremely proud of its track record over the last 12 years serving rural and regional

Queensland, and believes it has carried out its obligations to the Queensland Government and to the 23 regional Queensland communities in an exemplary manner,” wrote Mr Sharp.

“For reasons best known to himself, Mr Katter has chosen to tarnish Rex’s reputation through baseless allegations. We will be writing to the Member for Traeger to challenge him to back up his allegations against Rex with concrete evidence or else make an apology for his irresponsible comments.”

REX Executive chairman John Sharp

The letter included statistics highlighting Rex’s strong on-time performance average for the regulate routes, and claimed the majority of passengers paid under $200 a flight.

With the Covid pandemic ravaging Rex’s balance sheet, the regulated routes contract was among one of the few certainties for the carrier.

The Singapore-owned, publicly listed airline was expecting to slump to a $15 million statutory before tax loss for the 2021 financial despite managing a $9.9 million profit in the first half.

Rex currently has suspended operations by its six Boeing 737s which were leased to compete against Qantas, Jetstar and Virgin Australia on capital city and Gold Coast routes.

Mr Katter suggested that perhaps Rex should have used the funds to improve its regional services rather than trying to expand in the pandemic.

The contract for regulated routes will be decided before the end of the year.