Domestic Air Cargo Industry in Australia - Bureau of Infrastructure ...
Domestic Air Cargo Industry in Australia - Bureau of Infrastructure ...
Domestic Air Cargo Industry in Australia - Bureau of Infrastructure ...
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CHAPTER 4 REGULATORY CHANGE AND DEVELOPMENTS AFTER 1978Policy changes after the <strong>Domestic</strong> <strong>Air</strong> Transport P01 icy Review resulted<strong>in</strong> a significant relaxation <strong>of</strong> direct controls over the domestic aircargo <strong>in</strong>dustry. The major events between 1979 and 1987 are sumnarised<strong>in</strong> Table 4.1.INITIAL DEVELOPMENTSPrior to the enactment <strong>of</strong> new legislation to give effectto therenegotiated <strong>Air</strong>l<strong>in</strong>es Agreement, several developments affected thestructure and operation <strong>of</strong> the domestic air cargo <strong>in</strong>dustry.Charter operatorsIn early 1979 the Department <strong>of</strong> Transport authorised a number <strong>of</strong>general aviation operators to carry time-sensitive freight on behalf<strong>of</strong> <strong>in</strong>dividual freight forwarders on a regular basis over airl<strong>in</strong>eroutes under closed charter arrangements (Department <strong>of</strong> Transport1980, 37). These operations were approved after it was recognisedthat exist<strong>in</strong>g services were not adequately cater<strong>in</strong>g for somesmallitems, such as bus<strong>in</strong>ess documentation, which required urgent deliveryand could support premium rates. Follow<strong>in</strong>g the withdrawal <strong>of</strong> Ansett'snightly Electra service on the Brisbane-Mackay-Townsville-Cairns route<strong>in</strong> May 1979, the Department <strong>of</strong> Transport issued approvals to a number<strong>of</strong> charter operators to fly nightly services for time-sensitivefreight over this route (Department <strong>of</strong> Transport 1979c, 39).The relaxation <strong>of</strong> restrictions was quickly followed by the expansion<strong>of</strong> freight forwarders' <strong>in</strong>volvement <strong>in</strong> the carriage <strong>of</strong> overnightexpress air freight. The major operators were Wards <strong>Air</strong> <strong>Cargo</strong>,TNTCourier System and IPEC.Wards <strong>Air</strong> <strong>Cargo</strong> started a service between Melbourne and Sydney<strong>in</strong>January 1979 us<strong>in</strong>g a chartered Learjet supported by the company'snational ground transport network. Traffic <strong>in</strong>cluded bus<strong>in</strong>essdocumentation, films and computer tapes. The air operation expandedrapidly and by April 1979 Wards had four chartered Learjets provid<strong>in</strong>g25