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The Federal government announced its Tourism and Aviation Recovery package on Thursday, boasting half-price airline tickets to 13 locations. The package was announced as the government prepares to end its JobKeeper wage subsidy at the end of the month. The government hopes the package lifts the industry out of its pandemic woes, but is it just a holding pattern? Qantas chief executive Alan Joyce joked the Tourism and Aviation Recovery package had “more components than an A380”. It’s not that complicated; let’s break it down. Four new programs are part of the package; Tourism Aviation Network Support, the Small and Medium Enterprise Recovery Loan Scheme, the International Aviation Support program and Aviation Services Accreditation support program. The package also covers the extension of seven existing support programs for aviation and tourism. The Small and Medium Enterprise Recovery Loan Scheme will be available for businesses who have left JobKeeper between January 4 and March 28. Loans must be approved between April 1 and December 31. The International Aviation Support Network will provide financial support to airlines that travel overseas between April 1 and October 31. The Aviation Services Accreditation Support Program will run between March 29 and September 30 to cover costs for training ground handlers. The government expects this to cover 30 per cent of ground-handling workforce. The Tourism Aviation support network program will run between April 1 and June 31, with half-price tickets to 13 destinations available to purchase. Prime Minister Scott Morrison said he expected the scheme to account for 800,000 half-price tickets. Mr Morrison said the half-price tickets would be based off prices from February, to ensure airlines did not increase prices before applying the discount. The government has released an initial list of 13 locations for the Tourism Aviation Network Support program. Five locations in Queensland: The Gold Coast, Cairns, the Whitsundays, The Mackay region (including Proserpine and Hamilton Island), and the Sunshine Coast. Two in the Northern Territory: Lasseter and Alice Springs. Three in Tasmania: Launceston, Deconport and Burnie. And one each in Western Australia (Broome), NSW (Merimbula), South Australia (Kangaroo Island) and Victoria (Melbourne). All flight routes to the eligible locations are interstate. So you can get half-price tickets to Cairns if you depart from Melbourne, Sydney or Darwin, but you cannot get a discount on a flight from Brisbane. Some flights could be as cheap as $69, with some airlines already putting packages together. Qantas said passengers could fly to Adelaide from $99 one way when travellers book a return economy flight from Sydney, Melbourne, Brisbane, Perth or Canberra. Qantas and Virgin praised these measures, with chief executives from both airlines accompanying the Prime Minister as he announced the package. “The commitment to international flying in October is a really positive thing for all of Australia,” Virgin Australia chief executive Jayne Hrdlicka said. Mr Joyce said the announcement was “great news for Australian aviation” and “great news for Australian tourism”. “This is great news for Qantas, but particularly for Qantas employees, who have suffered pretty badly over the last year,” he said. Emeritus Professor Will Rifkin from the University of Newcastle said he expected the package would be welcomed by the aviation and tourism industry. “These industries have faced a very high level of uncertainty about when they can reopen,” he said. He said encouraging travel within Australia could entice international travels back when borders reopen. “Australia wants to be on the front foot when international tourism starts again,” Professor Rifkin said. Within the tourism sector, some are concerned that the package focuses too heavily on the aviation industry at accommodation and travel agencies’ expense. Australian Federation of Travel Agent’s chair Tom Manwaring said without support from the government tailored to travel agencies he expected 80 per cent of people still in the industry to be out of the job. Accommodation Association chief executive Dean Long said SME loans were only helpful when there was a level of certainty of revenue to pay loans back. He warned accommodation businesses could not take on new debt even if banks were prepared to lend to them. Opposition Leader Anthony Albanese said the package wasn’t a tourism package but a “selective aviation package”. “I think it is very disappointing that for tourism operators around the country, there is not a single extra dollar in today’s announcement,” Mr Albanese said. The Australian Services Union assistant national secretary Emeline Gaske condemned the package, which she described as “welfare for business”. “Without the connection to jobs, or putting money in the pockets of workers who need it, this is just corporate welfare,” Ms Gaske said. “This is taxpayer money designed to flow into the pockets of businesses, not workers, with no strings attached.” Victoria’s Acting Premier James Merlino said the scheme was disappointing for Victorians. “You only have to look at the numbers, five in Queensland, three in Tassie, two in the Northern Territory, but just one in Victoria,” Mr Merlino said. Queensland Treasurer Cameron Dick criticised the package for not covering intrastate travel.
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The Federal government announced its Tourism and Aviation Recovery package on Thursday, boasting half-price airline tickets to 13 locations.
The package was announced as the government prepares to end its JobKeeper wage subsidy at the end of the month. The government hopes the package lifts the industry out of its pandemic woes, but is it just a holding pattern?
Qantas chief executive Alan Joyce joked the Tourism and Aviation Recovery package had “more components than an A380”. It’s not that complicated; let’s break it down.
Four new programs are part of the package; Tourism Aviation Network Support, the Small and Medium Enterprise Recovery Loan Scheme, the International Aviation Support program and Aviation Services Accreditation support program.
The package also covers the extension of seven existing support programs for aviation and tourism.
The Small and Medium Enterprise Recovery Loan Scheme will be available for businesses who have left JobKeeper between January 4 and March 28. Loans must be approved between April 1 and December 31.
The International Aviation Support Network will provide financial support to airlines that travel overseas between April 1 and October 31.
The Aviation Services Accreditation Support Program will run between March 29 and September 30 to cover costs for training ground handlers. The government expects this to cover 30 per cent of ground-handling workforce.
How many tickets and when can I travel?
The Tourism Aviation support network program will run between April 1 and June 31, with half-price tickets to 13 destinations available to purchase. Prime Minister Scott Morrison said he expected the scheme to account for 800,000 half-price tickets.
Mr Morrison said the half-price tickets would be based off prices from February, to ensure airlines did not increase prices before applying the discount.
The government has released an initial list of 13 locations for the Tourism Aviation Network Support program.
Five locations in Queensland: The Gold Coast, Cairns, the Whitsundays, The Mackay region (including Proserpine and Hamilton Island), and the Sunshine Coast.
Two in the Northern Territory: Lasseter and Alice Springs. Three in Tasmania: Launceston, Deconport and Burnie. And one each in Western Australia (Broome), NSW (Merimbula), South Australia (Kangaroo Island) and Victoria (Melbourne).
All flight routes to the eligible locations are interstate. So you can get half-price tickets to Cairns if you depart from Melbourne, Sydney or Darwin, but you cannot get a discount on a flight from Brisbane. Some flights could be as cheap as $69, with some airlines already putting packages together.
Qantas said passengers could fly to Adelaide from $99 one way when travellers book a return economy flight from Sydney, Melbourne, Brisbane, Perth or Canberra.
This is great news for Australian aviation.
Qantas boss Alan Joyce
What is the response to the package?
Qantas and Virgin praised these measures, with chief executives from both airlines accompanying the Prime Minister as he announced the package.
“The commitment to international flying in October is a really positive thing for all of Australia,” Virgin Australia chief executive Jayne Hrdlicka said.
Mr Joyce said the announcement was “great news for Australian aviation” and “great news for Australian tourism”.
“This is great news for Qantas, but particularly for Qantas employees, who have suffered pretty badly over the last year,” he said.
Emeritus Professor Will Rifkin from the University of Newcastle said he expected the package would be welcomed by the aviation and tourism industry.
“These industries have faced a very high level of uncertainty about when they can reopen,” he said.
He said encouraging travel within Australia could entice international travels back when borders reopen.
“Australia wants to be on the front foot when international tourism starts again,” Professor Rifkin said.
Within the tourism sector, some are concerned that the package focuses too heavily on the aviation industry at accommodation and travel agencies’ expense.
Australian Federation of Travel Agent’s chair Tom Manwaring said without support from the government tailored to travel agencies he expected 80 per cent of people still in the industry to be out of the job.
Accommodation Association chief executive Dean Long said SME loans were only helpful when there was a level of certainty of revenue to pay loans back.
He warned accommodation businesses could not take on new debt even if banks were prepared to lend to them.
Opposition Leader Anthony Albanese said the package wasn’t a tourism package but a “selective aviation package”.
“I think it is very disappointing that for tourism operators around the country, there is not a single extra dollar in today’s announcement,” Mr Albanese said.
The Australian Services Union assistant national secretary Emeline Gaske condemned the package, which she described as “welfare for business”.
“Without the connection to jobs, or putting money in the pockets of workers who need it, this is just corporate welfare,” Ms Gaske said.
“This is taxpayer money designed to flow into the pockets of businesses, not workers, with no strings attached.”
Victoria’s Acting Premier James Merlino said the scheme was disappointing for Victorians.
“You only have to look at the numbers, five in Queensland, three in Tassie, two in the Northern Territory, but just one in Victoria,” Mr Merlino said.
Queensland Treasurer Cameron Dick criticised the package for not covering intrastate travel.