Qantas hits back

Press, 17 January 1979, Page 3

Qantas hits back

NZPA Sydney Qantas yesterday defended the right of the Australian Government, or any other Government, to impose whatever restrictions it wishes on fares out of its own country.

Answering criticism of, Australia’s new international aviation policy by Asian airlines and Air New Zealand, a Qantas spokesman said it was not generally realised that the Australian carrier: was subject to restrictions around the world on the traffic it could carry between foreign countries.

The Qantas spokesman, its public relations manager (Mr Robert Cousins) said the refusal of the Australian Government to permit Air New Zealand to carry passengers at the lower fares recently announced between Australia and the United States “should not be a source of amazement to the New Zealanders.”

Until 1975, Qantas enjoyed

[free access to New Zealand traffic destined for Britain i and Europe, just as until : now, Air New Zealand had ■had unrestricted access to : Australia-United States traf- ' fiC.

“But in 1975, the New Zealand Government approved new one-way fares and return excurison fares between New Zealand and Britain and later to Europe. , presumably in response to Qantas’s initiative in introducing low excursion fares on that route from Australia three years before. “The regulations applying to these fares from New Zealand provided that transfers between flights could take place only at Singapore, Hong Kong, Los Angeles, or San Francisco,” Mr Cousins said.

“Significantly.” no transifers were permitted at any [port in Australia and the effect of the New Zealand [regulations was to force 'New Zealand passengers to'

travel to the most distant point served by Air New Zealand before transferring to another airline.

“Qantas was effectively cut out of the New Zealand/Britain/Europe low-fare market, except for whatever passengers it could pick up between Singapore and London.

“That move by New Zealand has cost Qantas millions of dollars in revenue. But we have not stood up and shouted loudly about injustice. We recognise the right of the New Zealand Government, or any other Government, to ' impose whatever restrictions it wishes on fares out of its country.”

The Australian Government and New Zealand Government are due to meet on February 19 to discuss aviation matters and to try to work out lower Tasman fares and resolve the problem of Air New Zealand's access to lower Pacific fares.