An interim Productivity Commission report has found regional Australians are paying excessive fares to travel within their own state, with medical professionals saying high costs are increasingly making it difficult to lock in visiting specialists in country areas of Western Australia.
The report, released this week, found short regional flights were on average 173 per cent more expensive per kilometre than major routes. The same flights, often provided by a single operator, are used by medical specialists to travel to regional areas.
Latrice Porter, practice manager of a specialist medical centre in Albany, 400 kilometres south of Perth, said rising airfare costs and limited flight availability were making it harder to lock in visiting staff. “Rising airfare costs, limited flight availability, ongoing airline delays and cancellations are significantly increasing the cost of providing specialist outpatient care (in regional WA),” she said. She said telehealth was not well suited to an aging population and believes that if costs keep rising, specialists servicing regional communities will have to pass the cost of travel onto patients.
In the Pilbara, Karratha resident and long-time advocate for cheaper flights Kim Simpson said expensive fares placed an unfair burden on regional patients. “We get treated like second-class citizens, but we're paying first-class prices,” she said. She believes airlines feel they can get away with gouging mining communities, but said not all residents worked for mining companies.
The Productivity Commission report attributed high airfares to a lack of competition and high operating costs. A final report is due in April next year. WA's Patient Assisted Travel Scheme provides one of the lowest fuel and accommodation rebates in the country.
Analysis
Why This Matters
- Regional patients face higher costs for essential medical travel, with PATS providing low rebates.
- High airfares may force specialists to pass costs to patients, reducing access to care.
- The final report in April could lead to policy changes on airline competition or subsidies.
Background
The report is an interim finding from the Productivity Commission, examining regional airfares. Western Australia relies heavily on fly-in, fly-out medical specialists to serve regional communities. The state's Patient Assisted Travel Scheme offers rebates, but they are among the lowest in the country. Airlines often operate monopoly routes, with high demand from mining FIFO workers.
Key Perspectives
Latrice Porter (practice manager, Albany specialist centre): Rising airfare costs and flight disruptions are increasing costs of specialist care; telehealth is not ideal for an aging population; specialists may have to pass travel costs to patients.
Kim Simpson (Karratha resident, advocate): Expensive fares burden patients unfairly; PATS does not cover all cases; airlines treat all regional residents as if they are on high mining wages.
Productivity Commission: Finds lack of competition and high operating costs pushing up airfares.
What to Watch
- Final report due April next year, which may include recommendations.
- Whether the WA government adjusts PATS rebates in response.
- Potential for regulatory action on airline competition on regional routes.
Checked
12 claims in this story checked against 1 source: 12 supported.
Show each claim
- SupportedRegional airfares are soaring and hurting access to specialist care.Latest business news: “Skyrocketing regional airfares hurting patients needing specialist care.”
- SupportedThe interim report says short regional flights cost 173 per cent more per kilometre on average than major routes.Latest business news: “The commission found short regional flights were on average 173 per cent more expensive per kilometre than major routes.”
- SupportedThe report found regional Australians are paying excessive fares to travel within their own state.Latest business news: “An interim report from the Productivity Commission released this week found regional Australians are paying excessive fares to travel within their own state.”
- SupportedHigh airfare costs and limited flight availability are making it harder to book visiting staff at the Albany centre.Latest business news: “She said locking in visiting staff for her centre in Albany, 400km south of Perth, was becoming increasingly more difficult.”
- SupportedPorter said: “Rising airfare costs, limited flight availability, ongoing airline delays and cancellations are significantly increasing the cost of providing specialist outpatient care (in regional WA).”Latest business news: “"Rising airfare costs, limited flight availability, ongoing airline delays and cancellations are significantly increasing the cost of providing specialist outpatient care (in regional WA)," she said.”
- SupportedPorter said telehealth is not well suited to an aging population.Latest business news: “Ms Porter said it is not fit for an "aging population".”
- SupportedPorter believes specialists may pass rising travel costs on to patients if costs keep rising.Latest business news: “She believes that if costs keep rising, specialists servicing regional communities will have to start passing the cost of their travel onto patients.”
- SupportedSimpson said expensive fares place an unfair burden on regional patients seeking treatment.Latest business news: “She said the expensive fares placed an unfair burden on regional patients seeking treatment.”
- SupportedSimpson said: “We get treated like second-class citizens, but we're paying first-class prices.”Latest business news: “"We get treated like second-class citizens, but we're paying first-class prices."”
- SupportedSimpson believes airlines feel they can gouge mining communities, and says not everyone in the regions works for mining companies.Latest business news: “Ms Simpson believes airlines feel they can get away with gouging mining communities. "We don't all work for mining companies, and it's not fair that they treat everybody as if they're on huge dollars because there are a lot of people in the regions that are not," she said.”
- SupportedThe Productivity Commission report attributed high airfares to a lack of competition and high operating costs.Latest business news: “The Productivity Commission's report found a lack of competition and high operating costs combined to push up airfares.”
- SupportedThe final report is due in April next year.Latest business news: “A final report is due in April next year.”