The Australian Competition and Consumer Commissioner (ACCC) has warned that customers will continue to pay up for flights as airlines are keeping capacity tight, reluctant to expand services amid ongoing worker shortages, high jet-fuel prices, and challenges from a new COVID wave.
The ACCC will be monitoring them closely to ensure they return capacity to the market in a timely manner to start easing pressure on airfares,” ACCC commissioner Anna Brakey said in a statement.
Discounted economy fares have soared the most because “with fewer flights but strong demand, the airlines don’t currently need to offer special fares to fill their planes”, the competition watchdog said. An index of the discounted economy fares across the nation’s top 70 domestic routes showed they were more than double the price in November than they were in April, it said.
International travel is also strained as seat capacity remains lower than before the pandemic, and, with some airlines temporarily or permanently withdrawing services from Australia, there is less competition to keep prices in check. In October this year, 44 airlines were operating to and from Australia compared with 58 in September 2019.
What do you think about the increasing cost of air travel? Please share your thoughts below…. we’d love to know what you think.
When you book with an account, you will be able to track your payment status, track the confirmation and you can also rate the tour after you finished the tour.
