Regional Carrier Rex has issued a warning about the future of aviation in rural Australia in the wake of Brindabella Airlines folding.
Canberra-based Brindabella was placed in administration this week after CASA grounded aircraft due to maintenance over-runs.
The Rex warning, issued on Monday, pulls no punches when describing the current operating environment.
"As forewarned by Regional Express, aviation in Australia is in dire straits today after six years of neglect and oppressive policies by the Federal Labor Government," the warning says.
"Qantas, Virgin Australia and Tiger are all expected to suffer heavy losses this financial year but it is regional aviation in particular that is in danger of an irreversible terminal decline as it does not have the deep pockets needed to survive the current environment.
"Rex calls on the Federal and State governments to take immediate action to reverse the decline instead of prevaricating endlessly with review committees and committees of inquiry. In particular, Rex calls on the Federal Minister for Infrastructure and Regional Development, Warren Truss, to deliver on the election promises embodied in his action plan for aviation which included the reversal of disastrous policies of its Labor predecessors by removing the carbon tax, reducing increased compliance costs and re-introducing the en-route rebate scheme."
Rex Executive Chairman Lim Kim Hai added: "If nothing significant is achieved within the next three months, Brindabella's collapse could well be a precursor of more to come in the regional sector. It would be ironic if the decimation and collapse of regional aviation in Australia tookplace under the Nationals’ watch."
Other regional airlines that have disappeared in the recent past include Sunshine Express, Macair, O'Connor Airlines, Great Western, Airlines of South Australia, Horizon Airlines, Big Sky Express and Emu Airways.