Australia Launches Tender for Remote Air Services Subsidy Scheme

The Department of Infrastructure, Transport, Regional Development, Communications and the Arts in Australia has officially issued a Request for Tender (RFT) to facilitate air services in remote regions. This initiative is part of the Remote Air Services Subsidy (RASS) Scheme, aiming to enhance connectivity for isolated areas across the country.

Released on July 23, the tender calls for qualified aviation operators to provide essential air transport services to South Australia’s and Queensland’s Channel Country, Tasmania’s Cape Barren Island, and Queensland’s Cape York region. The initial contracts are set for two years, with possibilities for two additional 12-month extensions, depending on the government’s evaluation of the services provided.

Under the RASS Scheme, specific service requirements vary by region: the Channel Country contract stipulates freight-only services, Cape Barren is passenger-only, and Cape York requires both passenger and freight services. These services are critical, as many of the destinations, often cattle stations or First Nations communities, lack reliable road access, especially during the wet season, making air transport the only dependable means of connection.

Currently, the contracts are held by Chinta Air for the Channel Country, Skytrans for Cape York, and Airlines of Tasmania for Cape Barren Island. The tendering process will explore potential innovative solutions that can deliver regular, cost-effective, and efficient air services to these remote areas, typically on a weekly basis.

The tender encourages operators to propose tailored service models for one, two, or all three of the specified regions. Operators can also suggest various aircraft types to adapt to seasonal demands and operational requirements. It’s important to note that the RASS Scheme is geared towards servicing the communities’ needs and is not intended for tourism.

Regarding historical performance, the Channel Country contract typically involves the transfer of approximately 16,000 tonnes of cargo annually across twelve RASS-designated airstrips. In Tasmania, the Cape Barren route, operating bi-weekly from Launceston, historically transports around 383 passengers annually. The more complex Cape York operations, based out of Cairns, run five days a week to up to eleven airstrips daily, handling over 30 tonnes of cargo and nearly 300 passengers each year.

Interested parties are invited to submit their proposals through the Australian government’s electronic tender portal by the deadline of 12:00 local time (02:00 UTC) on August 19, 2024. This tender represents a significant opportunity for aviation operators to contribute to the vital connectivity of Australia’s most isolated regions.

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com