The Albanese Government has introduced legislation to reform Sydney Airport’s slot system, the first change in 27 years.
Based on recommendations from the Harris Review, key changes include introducing penalties for airlines not using slots properly, updating compliance rules to match international standards and enhancing transparency by requiring airlines to disclose slot usage information.
A restructured compliance committee will advise the government on enforcement actions, according to a statement by Minister of Transport Catherine King MP.
Among its priorities, the reforms aim to improve access for new airline entrants and regional NSW carriers. It is hoped this will ultimately help lower airfares.
Importantly, a new recovery period will also temporarily allow up to five extra flights per hour after disruptions, helping the airport resume normal operations quickly without affecting curfew hours.
Community protections, like the movement cap and curfew, remain unchanged.
The broader aviation reform package also includes improved monitoring, support for travellers with disabilities and the launch of the Aviation Industry Ombuds Scheme.
The government believes the reforms will support a more efficient and competitive Sydney Airport, contributing to better travel experiences – and the hub agrees, saying the reform would provide better outcomes for passengers.
Among the improvements Australia’s busiest gateway says passengers can look forward to are more reliability, competition and choice.
In addition, Sydney Airport lauded the provision to allow it to “catch up” with flights following disruptions beyond its control.
“This is an important and positive step that will deliver better results for passengers by reducing cancellations and delays,” Sydney Airport CEO Scott Charlton said.
“These are the first improvements to the legislation that governs Sydney Airport’s operation in more than 27 years, and we commend the Government for seeing these through.
“We look forward to the legislation’s passage through the Senate and, once enacted, will continue to work with the Government and its agencies on implementation.”
The Australian Airports Association (AAA) also welcomed the news, saying the legislation will create “a more balanced system” and help boost competition.
“The current slots system has provided an unfair advantage for the airline duopoly at Sydney Airport, so these reforms are going to help level the playing field,” the AAA’s Head of Policy and Advocacy Natalie Heazlewood said.
“The AAA commends the government for introducing the first reforms in 27 years to the rules that determine how Sydney Airport is run.
“We hope to see them move as quickly as possible through Parliament so reforms can be enacted. Every day these changes are delayed is another day of constrained operations at Australia’s biggest airport, a key link for the domestic aviation network.
“We urge the government and opposition to work together on this much-needed legislation to ensure Australian passengers aren’t disadvantaged unnecessarily.”
Travel industry reacts
The Australian Travel Industry Association (ATIA) says it supports the government’s reforms to Sydney Airport’s slot-management system, which its says are aimed at improving reliability, competition and choice.
“The introduction of reforms to the slot management system at Sydney Airport is a positive step forward, and they are very welcome,” ATIA CEO Dean Long said.
“They complement other reforms that have been announced, which range from better monitoring of airline performance and pricing through to enhanced outcomes for travellers with disabilities.
“We are also very much engaged in the consultation process around the creation of the first Aviation Rights Charter and Aviation Industry Ombuds Scheme, to ensure the interests of the travel industry and the customers we support are taken into account.”