Rex Airlines Introduces New Routes to Reduce Domestic Airfares
An expert mentioned that the addition of new Perth-Adelaide and Melbourne-Perth routes by Rex Airlines will enhance regional connectivity and lead to reduced airfares.
Rex Airlines recently introduced the Perth-Adelaide and Melbourne-Perth routes with the expectation of aiding in lowering domestic airfares, albeit to a small extent.
“The announcement of Rex commencing flights between Melbourne-Perth and Adelaide-Perth will benefit travelers on those routes by offering improved connectivity to Rex’s regional services in Western Australia and will likely bring down fares on both routes,” stated Keith Tonkin, managing director of Aviation Projects, to The Epoch Times.
“I anticipate that the impact on fares from the small increase in services by Rex will be minimal and restricted, especially on the Melbourne-Perth route, where Qantas/Jetstar and Virgin Australia operate approximately 15 daily flights, including some A330 services from Qantas,” added Ian Douglas, senior lecturer at the School of Aviation at the University of New South Wales.
Rex Airlines announced that flights between Perth and Adelaide will take place every Monday, Friday, and Sunday on Embraer E-190 jets operated by its group member, National Jet Express (NJE).
“Virgin and Qantas carriers had around 85 canceled flights on this route in the first four months of 2024. Virgin’s on-time arrivals and departures were dismal, with only 56 percent of flights arriving on time and departures slightly better at 59 percent,” stated Anthony Gibara, NJE Director. “Travelers deserve better, and Rex will provide that. We plan to increase services once established on the route.”
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The announcement of the Perth-Adelaide route followed the airline’s decision to introduce a Melbourne-Perth route operating five days a week.
“Our competitors canceled a total of 57 flights on this route in the first four months of 2024 with a combined on-time arrival and departure performance of only around 72 percent,” mentioned Warrick Lodge, Rex General Manager Network Strategy, regarding the Melbourne-Perth route.
Both flights are scheduled to commence on June 28, with the Perth-Adelaide route costing starting at $249 for a one-way economy flight. The Melbourne-Perth route will begin at $299 for a one-way economy flight and $999 for a one-way business flight.
Despite Rex Airlines’ additional flights, the impact of Bonza exiting the Australian market will affect regional travel.
“Regarding Bonza, its fleet was small, and its focus was in a different market segment, both geographically and in product design. Bonza’s departure from the market will undoubtedly be felt in the regional centers it served, including impacting Sunshine Coast airport,” Mr. Douglas commented.
“In terms of total revenue generated in Australia this year, Bonza’s grounding is unlikely to have a significant impact.”
Earlier, the Australian Competition and Consumer Commission (ACCC) stated that the suspension of Bonza’s operations will reduce direct connections at Maroochydore airport in the Sunshine Coast from 14 to three and cut the number of direct connections at Coolangatta airport in Gold Coast by half.
However, the ACCC highlighted that due to the airline’s small fleet size and exclusion of the busiest routes, it does not hold more than a 2% market share.
