New security screening costs could devastate regional air travel, councils warn

[SeaWolf]

Seems like many small councils in regional Australia may have to look at discontinuing commercial air services at their regional airports.

Across Australia, regional councils will be left to pick up the bill for new national security measures at local airports and there are warnings "that is going to be crippling".

Australia's smallest airports cop huge national security costs and the Government won't help

Most regional Australian airports are owned and operated by local councils and there are warnings the Federal Government's expensive new national security measures could force fares up or routes to close.

www.abc.net.au

 

[UP4014]

Some regional routes get a subsidy now, perhaps the state Ministers for Local Govt' (very Yes Minister) need to cough up a bit more.

 

[ozfflyer]

so the new rules apply to aircraft with over 40 seats, whereas the current rule is when MTOW is 20 tonnes or more ? So Saab 340s don't need security as have 34 to 36 seats generally, Dash 8-100 & -200 have 36 seats generally, but dash 8-300s have 50 seats along with ATR 42s. Some F50 are under 20 tonnes now, but have 50 seats.

It seems all that is changing is, the line in the sand in moving slightly. The national party should be demanding no changes whatsoever. Hell they are in govt with libs.

 

[SeaWolf]

It seems all that is changing is, the line in the sand in moving slightly. The national party should be demanding no changes whatsoever. Hell they are in govt with libs.

The trouble is that the change is already on the cards and they've summoned the "National Security™" genie. Once the words have been uttered (politically) there's just no putting it back into the bottle.

 

[dajop]

The article was stating costs of $250,000 - $500,000K at Charleville to employ people to main the security for the daily flights to BNE on QF Link. So assuming you have 3 folk there for 2 hrs a day , thats 2190 hours per year. So that's between $114 and $228/hr to staff the security. Even if you had 6 people working full 8 hr shifts, sharing the shifts between them across the week, the $500K end of the spectrum is $83K per person. I know there are oncosts, but the estimate seems rather high.

 

[eastwest101]

The article was stating costs of $250,000 - $500,000K at Charleville to employ people to main the security for the daily flights to BNE on QF Link. So assuming you have 3 folk there for 2 hrs a day , thats 2190 hours per year. So that's between $114 and $228/hr to staff the security. Even if you had 6 people working full 8 hr shifts, sharing the shifts between them across the week, the $500K end of the spectrum is $83K per person. I know there are oncosts, but the estimate seems rather high.

Yes those costs do seem rather high considering the equipment will be provided by the Federal Government,

I think the big hidden cost is the readjustment of the floorplans of fairly small regional airports to allow for a sterile departures area, changing floorplans = structural = expensive. I don't think the local councils have money for that.

If the proposed laws really are Saab 340s = no security screening but Fokker 50 and Dash 8-300 or larger = security screening charges then the share price of Rex and the resale value of every remaining Saab 340 in the world has just gone through the roof!

They will have to adjust the rules, with grandfathering, or fund it federally, otherwise nearly every regional flight in Australia will become immediately uneconomic, with the flow on effects being that government travel and private enterprise travel to the regions would cease resulting in the closure of local government agencies, hospitals, mines, factories etc etc, And thats before we even consider that Qantas will squash any attempt at this, as it would make their entire regional Dash 8 Q400 fleet and network uneconomic overnight.

 

[Isochronous]

It also raises the important point that someone needs to design a new aircraft that functions as an effective replacement for the Saab 340!

 

[dajop]

And thats before we even consider that Qantas will squash any attempt at this, as it would make their entire regional Dash 8 Q400 fleet and network uneconomic overnight.

The Q400's have always had a requirement for security screening. So it will make no difference there. What it will affect is the Dash 8-300's services, which is what they use to Charleville.

And it may not be all so rosy for Rex, especially if flight times mirror those of QF Link, as airport operators may not want to maintain separate sterile and non-sterile areas for boarding, and thus will force passengers of airlines operating aircraft below 40 seats to use and pay for security screening, as Dubbo City Council do

 

[ozfflyer]

The Q400's have always had a requirement for security screening. So it will make no difference there. What it will affect is the Dash 8-300's services, which is what they use to Charleville.

And it may not be all so rosy for Rex, especially if flight times mirror those of QF Link, as airport operators may not want to maintain separate sterile and non-sterile areas for boarding, and thus will force passengers of airlines operating aircraft below 40 seats to use and pay for security screening, as Dubbo City Council do

it seems like the new rules was written by Rex !!! QF link might drop certain airports, so security will still not be required.

With regard to costs, there's probably something in the award that states minimum hours for a shift of 4 or 5 hours, even for 1 flight a day & then there are all the on costs, so if an employed earns $50k gross, then the real cost is closer to $100k.

 

[dajop]

it seems like the new rules was written by Rex !!! QF link might drop certain airports, so security will still not be required.

I doubt QF will drop airports because of this, but who knows. I counted 39 airports where Rex operate services that QF Link doesn't, and another 4 that Fly Corporate fly to - so thats a decent number. But the 64 airports the government is planning to upgrade must include these.

 

[ozfflyer]

I doubt QF will drop airports because of this, but who knows. I counted 39 airports where Rex operate services that QF Link doesn't, and another 4 that Fly Corporate fly to - so thats a decent number. But the 64 airports the government is planning to upgrade must include these.

maybe with the recession QF want to fly smaller aircraft anyway, so they might downgrade an airport that currently has QF flights with aircraft over 40 seats to smaller aircraft.

Look at BNE/LAX going from 10/week to daily. Unfortunately, VA haven't got a smaller aircraft that could do BNE/LAX nonstop, BUT they do have A330s that do currently do HKG & heard reports of very poor load factors to HKG even when giving seats away.

So maybe could VA do eg

BNE/LAX via somewhere with an A330 ?

NAN would be obvious choice, but Fijians might give them a hard time re NAN/LAX, but they do have flights SYD/NAN & MEL/NAN that could connect with a VA NAN/LAX.

Will start a new thread about this now.

 

[dajop]

maybe with the recession QF want to fly smaller aircraft anyway, so they might downgrade an airport that currently has QF flights with aircraft over 40 seats to smaller aircraft.

QF only have 3 Dash 8 -200's (36 seaters) left in their fleet. At least some of the time utilised to LDH. Not much scope there to downgrade flights.

Don't see any relevance at all of discussion of VA's long haul flights to Qantas Link operations.

 

[ozfflyer]

QF only have 3 Dash 8 -200's (36 seaters) left in their fleet. At least some of the time utilised to LDH. Not much scope there to downgrade flights.

Don't see any relevance at all of discussion of VA's long haul flights to Qantas Link operations.

aren't there a lot of QF Dash 8-200s flying in JQ colours in NZ ?

Every airline is trying to reduce supply but not frequencies at present, at least internationally, due to economy, but at same time they need to keep frequencies for the business traveller. So QFs move to go from 10/week BNE/LAX to daily & send the other 3 to SFO makes perfect sense.

It doesn't make any sense for National Party to allow CASA to move the line in the sand, requiring security from basically 50 seaters to 40 seaters. It will cause so many problems in the bush.

 

[dajop]

aren't there a lot of QF Dash 8-200s flying in JQ colours in NZ ?

Actually, the ones flying in NZ are Dash 8-300's (5).

Qantas Link has a mix of flights, but do fly Q400's (which definitely require security screening) to most ports at least some times. I think the 6 ports that only get 300 series services (or smaller) on the QF network are ARM, BXG, PLO, CTL, MRZ and WHY (excluding LDH, as it only gets 200 series aircraft).

Still don't get your discussion of international flights in this context. Regional services are driven by different dynamics - such as mining, agriculture and other industries, plus government traffic, medical travel and VFR traffic. There is also far less competition, have fairly low costs to operate the Dash 8 series, and couldn't be more different to transpac 777 services. I think for QF, these changes will have minimal impact, given what they have to face already with the Q400's.

 

[p--and--t]

Just wondering out aloud, what if they roped off 10 seats in a 50 seater and didn't make them available for sale to certain low volume airports, do they still need a new security procedures? - This would still allow for usage of current aircraft in a flexible manner.

 

[ozfflyer]

Just wondering out aloud, what if they roped off 10 seats in a 50 seater and didn't make them available for sale to certain low volume airports, do they still need a new security procedures? - This would still allow for usage of current aircraft in a flexible manner.

or if required to actually remove seats, more freight perhaps ?

This whole thing is just nuts. What's the difference between a 40 & a 50 seater, security wise ?

Should casa be closed down ? Does it actually do anything productive at all ? Many would say no.

 

[p--and--t]

Whats the difference between a 40 seater being hijacked and a 50 seater being hijacked? And what is the statistical difference in likelihood of each occurring?

I don't see any rational in the decision making.

I would have thought maybe a strategic analysis of risk, the location, assets being transported or similar rather than a seat count.

 

[dajop]

It does seem quite crazy. All part of the theatre though.

However, as I mentioned, as far as QF ports go, it should only effect 6 of them, as most already receive the 70 seater. On the upside, it may create the opportunity for those 6 ports to receive the occassional Q400 as well. I can't see QF removing 10 seats from their Q300s either. Most QF link flights command fares of at least $150, if not $200. 10 seats removed from a daily service (presumably in both directions), takes away at least $1m in annual revenue opportunity for that daily service.

 

[p--and--t]

I can't see QF removing 10 seats from their Q300s either. Most QF link flights command fares of at least $150, if not $200. 10 seats removed from a daily service (presumably in both directions), takes away at least $1m in annual revenue opportunity for that daily service.

......depending on current load factors

 

[ozfflyer]

......depending on current load factors

yes if the bush is like the rest of the country, airlines finding it hard to fill any aircraft domestically or internationally