Sudden new travel restrictions between the Australian state of Victoria, New South Wales, and South Australia may dramatically disrupt local carriers Virgin Australia and Qantas. Victorians cannot travel to other areas of Australia from tomorrow midnight (although authorities have effectively restricted the border today).
The sudden spike in cases
Victoria is experiencing a second wave of coronavirus cases after containment failed at a local quarantine hotel, and infections spread throughout local suburbs. Since the beginning of the month, the city has seen rising infection numbers in triple digits with no end to the curve in sight. Cases have now surpassed the initial infection rates when the virus first landed on Victoria’s shores.
This will have an impact on air travel, although the full scale is still unknown at this time.
Before the coronavirus, the route between Sydney and Melbourne was the 2nd most popular air route in the world, with 54,519 flights a year. It is a significant breadwinner route for both Qantas and Virgin Australia, who fight over lucrative business traveler contracts that make up the bulk of their domestic operations.
Alas, when the virus hit the nation hard in April, air travel across the country was grounded.
This action, while saving lives, signed a death blow to ‘local’ airline Virgin Australia. This forced the carrier into voluntary administration to shore up debt.
Apart from essential connection fights sponsored by the government, and infrequent cargo operations, the skies above Australia were empty. After a successful lockdown and hibernation of the nation, virus numbers fell and aircraft returned. Airlines reconnected major cities, and then slowly rolled out operations to regional areas.
However, with the escalation overnight of this latest second wave hitting Victoria, it looks as if skies above Melbourne might yet again empty. Cutting off lucrative revenues for Qantas and stranding many passengers in both Sydney and Melbourne.
What does this mean for Qantas?
Simple Flying reached out to Qantas when the news broke; however, they have not formulated a response to the new border closure by the time of publication. This article will be updated when a reply is received.
So far, the various state governments have not issued any directions to the airline, but common sense would dictate that if no one can travel interstate, then it doesn’t make much sense to operate services south (although NSW travelers can still journey to Victoria). There is a wavier for essential travel, but it is very restrictive and limited to only a few people.
Some of the restrictions include a mandatory two-week isolated quarantine for new NSW arrivals (there are no restrictions for those flying into Victoria from NSW).
South Australia has also moved to block travel from Victoria, which will undoubtedly affect air travel between Melbourne and Adelaide.
While this destination is a lucrative one for Qantas’ pocketbook, it may not hamper its bottom line as bad as earlier in the year. There are other routes in Australia still open or yet to open, such as tourist routes to Queensland’s beaches opening in the new few weeks that can provide a lifeline.
This story is still developing.
Have you been affected? Let us know in the comments.
