REX to fly between Lismore, Sydney

REGIONAL airline REX will be able tocontinue flying between Lismore, Ballina and Sydney after the Federal Government capped the cost of using Sydney Airport for the airline.

Federal Infrastructure Minister Anthony Albanese announced the Government had issued a direction to Sydney Airport blocking it from increasing airport fees for regional airlines beyond the Consumer Price Index.

The direction guarantees access for REX and other regional airlines, such as Qantaslink and Aeropelican, that rely on comparatively small aircraft to operate regional routes.

A spokeswoman for Mr Albanese said there were nearly 31,000 regional airline flights in and out of Sydney in the 12 months to March.

REX managing-director Jim Davis said Sydney Airport was the only one in Australia with legislated limits on the number of aircraft able to use its runways and, without the cost caps, commercial pressure would push up the costs of access to favour big jets.

Mr Davis welcomed what he described as the Government's ‘firm leadership' on the issue.



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