[2021] IASC R08

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Resolution: [2021] IASC R08
Determination: [2020] IASC 101
The Route: Indonesia
The Applicant:

Qantas Airways Limited 
(ACN 009 661 901 / ABN 16 009 661 901)

Public Register: IASC/APP/202135

On 21 January 2020, the International Air Services Commission (the Commission) issued Determination [2020] IASC 101 (the Determination) allocating to Qantas Airways Limited (Qantas) 670 seats of capacity per week in each direction on the Indonesia route.  The Determination includes several conditions including the requirement for the capacity to be utilised from no later than 30 June 2020 or from such other date approved by the Commission.  

Due to the COVID-19 pandemic impacts, including travel restrictions put in place by the Australian Government in March 2020, Qantas was not able to commence the new services to and from Indonesia.  In light of this, on 18 March 2021, Qantas applied to the Commission to extend the date of utilisation of the capacity from 30 June 2020 to 31 October 2021.  Qantas stated in its application that Australian international borders would remain closed until the COVID-19 vaccine is rolled out across the Australian population in late 2021.  In granting Qantas’ request, the Commission issued Resolution [2021] IASC R02 varying a condition in the Determination to provide that the capacity issued under Determination [2020] IASC 101 is to be utilised from no later than 31 October 2021, or such other date approved by the Commission.

On 4 November 2021, the Commission received Qantas’ application (dated 29 October 2021) seeking a further extension of the date from which the airline would be able to fully utilise the capacity.  Qantas sought to extend the date of utilisation from 31 October 2021 to 29 October 2022, the end of the Northern Summer 2022 IATA scheduling season.  The airline indicated that “Qantas and Jetstar are committed to building back frequency and capacity on the Indonesia route [Jakarta and Bali] as quickly as possible – the speed of the deployment will be influenced by the following:

  • COVID-19 related health and quarantine requirements at both ends of the route;
  • Constraints on eligible traveller categories or visa-types; and
  • Overall demand and consumer confidence.” 

Qantas further stated that it “recognises that the border and travel restrictions associated with COVID-19 pandemic are dynamic and will respond quickly with additional frequencies when demand and operational conditions permit”.

The Commission recognises that the COVID-19 pandemic and associated quarantine requirements may continue to disrupt the international operations of airlines.  

In light of these circumstances, the Commission has decided to grant Qantas’ request and issue Resolution [2021] IASC R08 to provide that the capacity allocated under Determination [2020] IASC 101 is to be utilised from no later than 30 October 2022, or such other date approved by the Commission.  The Commission will continue to monitor the airline’s ability to fully utilise the capacity on the route.

Dated:    8 November 2021

Genevieve Butler - Chairperson

Jane McKeon - Commissioner