REX wins contract for multiple WA regional (subsidised) routes.

[HS-TQE]

REX was the ONLY bidder for those subsidised routes.

Rex wins contract for multiple regional WA routes despite 'disappointing' performance

Strict standards will be imposed on regional airline Rex by the state government after it won a renewed contract for multiple routes across regional West Australia despite past unreliability.

www.abc.net.au

 

[Must...Fly!]

REX was the ONLY bidder for those subsidised routes.

haha, before I opened it my first thought on reading the title of the thread was "did anyone else even bid?"

 

[jrfsp]

The REX WA routes are not subsidised - but they are regulated.

For many smaller towns, there is no other airline interested / or that has the right sized aircraft. We've seen that it's hard to make money in these markets and State governments need to accept that subsidies will be needed if services are to continue.

 

[Harrison_133]

Of interest, the NJE Q400 will be introduced on the Perth to Carnarvon route from the end of October, operating under Rex flight numbers.

 

[jrfsp]

Of interest, the NJE Q400 will be introduced on the Perth to Carnarvon route from the end of October, operating under Rex flight numbers.

View attachment 339430

Should be big improvement on flying time and payload

 

[Saab34]

They should pull the Saabs completely from out west and just run a Q400 operation over there.

 

[Mwenenzi]

REX was the ONLY bidder for those subsidised routes.

Rex wins contract for multiple regional WA routes despite 'disappointing' performance

Strict standards will be imposed on regional airline Rex by the state government after it won a renewed contract for multiple routes across regional West Australia despite past unreliability.

www.abc.net.au

So last in a 1 horse race.
REX-->

Media Releases

 

[UP4014]

The REX WA routes are not subsidised - but they are regulated.

For many smaller towns, there is no other airline interested / or that has the right sized aircraft. We've seen that it's hard to make money in these markets and State governments need to accept that subsidies will be needed if services are to continue.

There is a subsidy, the WA allocated $20.7M for zone cap regulated fares for 23/24.

 

[jrfsp]

There is a subsidy, the WA allocated $20.7M for zone cap regulated fares for 23/24.

There is a subsidy (cap) for the regional residents' airfares yes. But not for the airline operating the route (unlike the QLD REX service).

Pax flying for business don't receive any subsidy for instance and this is cap is across all airlines flying intra WA.

 

[UP4014]

There is a subsidy (cap) for the regional residents' airfares yes. But not for the airline operating the route (unlike the QLD REX service).

Pax flying for business don't receive any subsidy for instance and this is cap is across all airlines flying intra WA.

Yep and the WA Govt publishes they contribute $20M in a Govt doc to this program, therefore a subsidy.