New Australian aviation ombudsman could force airlines to pay cash compensation for delayed flights

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New Australian aviation ombudsman could force airlines to pay cash compensation for delayed flights
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Carriers and airports will have to adhere to customer rights charter setting out ‘reasonable and fair’ conduct – or be penalised

A new aviation white paper tackles consumer complaints but it remains unclear how the Albanese government plans to address the Qantas-Virgin duopoly.A new aviation white paper tackles consumer complaints but it remains unclear how the Albanese government plans to address the Qantas-Virgin duopoly.

The new ombudsman scheme will involve an external dispute resolution service for passengers to lodge complaints about airline and airport misconduct – and will have the power to direct companies to pay remedies to customers if they have failed in their obligations. “Airlines will also have to ‘show cause’ – that is, report reasons for delays and cancellations as part of the regular reporting to the government and the ombudsperson can request additional information on specific flights. This will increase transparency and public accountability and allow the government to identify if further regulation is needed,” the government said.

Cash compensation schemes are in place in the US and the European Union. In Europe, passengers whose flights arrive at their final destination with a delay of more than three hours are entitled to between €250 and €600 , depending on the distance of the trip.In schemes overseas, longer delays mean passengers can opt to be fully refunded within seven days. If a delay means a passenger misses a connecting flight on the same reservation, the airline must also pay compensation.

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