Privately-held airline Virgin Australia has been given approval by the Australian Competition and Consumer Commission (ACCC) for a planned agreement with state-owned carrier Qatar Airways to boost international flights to Australia.
The proposed co-operation includes 28 new weekly return flights from Doha to Perth, Brisbane, Sydney and Melbourne beginning in mid-2025, and is likely to benefit travellers and increase choices for consumers, the ACCC said. Virgin plans to wet-lease aircraft from Qatar to operate the services and has already commenced selling fares.
Virgin entered voluntary administration during the Covid-19 pandemic in 2020 before being sold to US private equity investor Bain Capital. The company, Australia's second-largest consumer of jet fuel, formerly operated long-haul flights but has since only operated flights to Australia, New Zealand, the Pacific and Indonesia.
Qatar agreed to buy a minority 25pc stake in Virgin in 2024 as part of its expansion into Australia after it was refused authorisation to increase flights to the country by the federal transport minister. The Australian Foreign Investment Review Board and federal treasurer have yet to approve the deal.
Australia's sales of jet fuel for international flights averaged 91,000 b/d in 2024, up by 17pc on the year from 78,000 b/d in 2023, according to Australian Petroleum Statistics. Total jet fuel sales were at 161,000 b/d.
International jet fuel sales totalled 102,000 b/d in 2019, the final full year before the pandemic.
Australia's jet fuel imports totalled 128,000 b/d in 2024, up by 8pc on the year. Further demand growth is likely, with Sydney — Australia's largest airport — reporting international passenger numbers 4pc below 2019 figures in 2024.
