In response to Glenelg Shire Council’s announcement today that the increase in charges at Portland Airport would not proceed as a means to entice Rex to maintain services, Rex has confirmed that it is unable now to reverse its decision.
“We have made it amply clear in a meeting with Glenelg Council back in August and in subsequent correspondence that if Council persisted with the 6% increase in head tax on the back of a 50% increase in revenue Rex would consider withdrawing its services.
“Since Council advised us on 29 September of its decision to proceed with the increase, Rex wrote to Council on 10 October advising that our Board would consider Rex’s future services to Portland in early November. On 10 November we wrote formally advising our decision to withdraw given Council’s approach to the service.
In a follow up letter to Council on Monday this week before the Council meeting, we made it clear that the aircraft and resources had now been allocated to other communities and we were committed to the withdrawal from 31 December.
“We are therefore surprised at Council’s press communication attempting to give the impression that the matter was still under review. Air services take months if not years to plan and execute and Council must take full responsibility for its actions. Surely decisions on critical community services are not to be undertaken lightly.
“Our sympathies are with the residents of Portland and the region who have lost a quality service at affordable prices. However such a service is only possible when both the Council and Rex work in true partnership to bring down fares. Wherever this approach is adopted, passenger numbers have skyrocketed and the frequency of services has greatly increased while fares have been reduced. In fact our network-wide average fare today is 20% lower than what it was four years ago even with the fuel levy priced in.
“We will be willing to reopen the dialogue with the Glenelg Shire in future years when we are convinced that we are dealing with a Council which truly understands the dynamics of regional aviation.”
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