The ACCC has granted interim authorization to Virgin Australia and Alliance Airlines allowing them to cooperate on 41 regional routes and two short-haul international routes.
The ACCC’s preliminary view is that these arrangements are likely to result in a public benefit by assisting in the re-establishment of Virgin Australia’s national network of routes, thereby promoting competition in airline services.
“The COVID-19 pandemic has significantly disrupted the aviation industry in Australia. This interim authorization will help facilitate a more competitive aviation landscape as Australian consumers resume travelling and demand for flights increases,” ACCC Commissioner Stephen Ridgeway said.
The cooperation will allow Virgin Australia and Alliance Airlines to share information, and to agree on service capacity, schedules and potentially revenue sharing on the routes on which they operate, including for new routes not currently serviced by either airline.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
