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Australia looks to revamp slot rules at Sydney airport to increase competitors

The Australian government said on Monday it would present rules to maximize more takeoff and landing slots at Sydney airport, and make it easier for new airline companies to get slots as it looks to improve competition at the country's busiest airport.

The relocation comes roughly a week after airline Regional Express Holdings cut numerous jobs after it got in voluntary administration, the second small airline company to do so this year, more consolidating the nation's aviation market.

The tender process for Sydney Airport Slot Manager will start on Monday, requiring potential firms to show how they would handle and alleviate conflicts of interest in a. transparent way, Transport Minister Catherine King stated.

As soon as designated, they need to abide by a statement of. expectations consisting of governance and openness. requirements, King said in a statement.

Australia's competition regulator has been urging the. government to reform how airlines are allocated flight slots,. especially on busy domestic paths, which critics state are. controlled by Qantas and Virgin, keeping out brand-new entrants.

The business that presently administers flight slots at. Sydney Airport is majority-owned by Qantas and Virgin,. which reject the allegation.

Qantas and Virgin Australia together control about 90% of. the nation's airline market. Spending plan airline company Bonza collapsed in. April and its fleet was later repossessed by lenders.

Sydney Airport slot reforms, first proposed by the. federal government in February, will be settled in legislation. expected to be presented in the Parliament quickly, King said.

Sydney is Australia's busiest airport with about 39 million. passengers utilizing it in 2023, main data showed.

(source: Reuters)