New Consumer Protection Laws Will Increase Airfares, Airlines Tell Inquiry

The airline sector cited examples from the EU and Canada where airfares increased following the introduction of consumer protection schemes.

A Qantas and a Virgin aeroplane at Sydney International Airport in Sydney, Australia, on April 3, 2025. David Gray/AFP via Getty Images

A proposed new law that would impose penalties on airlines for service delays would end up penalising consumers, a Senate inquiry has been told.

The Standing Committees on Rural and Regional Affairs and Transport is considering the Aviation Consumer Protection Bill and associated legislation, which aims to create a consumer protection charter that will set minimum standards for airline and airport services and establish the Aviation Consumer Ombuds Scheme, an independent dispute resolution body.