What is the Australian Airline Financial Relief Measures?
The Australian Airline Financial Relief Measures is a program to assist the domestic airline industry in response to the economic pressures created by the impact of COVID-19 by reducing operational cost pressures to improve the ability of airlines to maintain services.
The Government is providing financial assistance with measures to ease the costs and charges of operating domestic commercial air services from 1 February to 30 September 2020. To this end, the Government has announced a series of measures. The measures are:
- Waiver of fuel excise
- Waiver of Airservices Australia charges
- Domestic Aviation Security Charges rebate
- Offsetting the increased operational costs from the scheduled enhanced regional security screening requirements where they are introduced
- Providing infrastructure support for regional airport operators to implement the enhanced regional security screening requirements.
The Australian Airline Financial Relief Measures will run over 6 months from 1 April 2020 to 30 September 2020. The program was announced as part of the Australian Government’s response to the economic impact of COVID-19 and in response to its unprecedented and likely sustained impact on the Australian domestic airline industry.
The package of measures includes the refunding and ongoing waiving of a range of Government charges on the industry including aviation fuel excise, Airservices Australia charges on domestic airline operations and domestic and regional aviation security charges.
The objective of this program is to reduce the cost base faced by commercial airlines, improving the financial viability of scheduled and commercial flights.
The Australian Government has announced a total of $715 million across 2019-20 and 2020-21 for the Australian Airline Financial Relief Measures.
The Government will provide grant payments to eligible organisations equal to the amount of excise paid on fuel used for domestic air services, where the air services are:
- domestic scheduled Regular Public Transport services
- domestic commercial charter operations
- aerial agriculture, aerial work and flight training
- contracted aeromedical services
as defined under Australian civil aviation regulations and authorised on your Air Operator’s Certificate.
To be eligible you must:
- have an Australian Business Number (ABN)
- be registered for the purposes of GST
- have an account with an Australian financial institution
- be one of the following entity types:
- a company incorporated in Australia
- a company incorporated by guarantee
- an incorporated trustee on behalf of a trust
- a partnership
- a joint application
- a registered charity or not-for-profit organisation
- an individual
- an Aboriginal and/or Torres Strait Islander Corporation registered under the Corporations (Aboriginal and /or Torres Strait Islander) Act 2006; or
You must have an Air Operator’s Certificate authorising the services, and provide a copy of this with your application.
Applications close 30 September 2020.