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BUDGET 2001-2002 Media Release

John Anderson Deputy Prime Minister Minister for Transport and Regional Services Leader of the National Party


2001Budget11 22nd May 2001

The Federal Government will spend $14 million over the next two years to help pay for air traffic control towers at regional and general aviation airports, the Deputy Prime Minister and Minister for Transport and Regional Services, John Anderson, said today.

“The Government provides a subsidy to Airservices Australia so it can maintain reasonably priced tower services at regional and general aviation airports. These airports handle 2.1 million passenger movements a year and are an essential part of the national air transport system. The subsidised general aviation airports support thousands of jobs in the training, maintenance, and charter sectors of the industry.

“The Government will continue to subsidise tower services at Albury, Coffs Harbour, Launceston, Mackay, Maroochydore, Rockhampton, Tamworth, Archerfield, Bankstown, Camden, Jandakot, Moorabbin, Parafield and Essendon. In addition, Airservices will continue to cap charges for general aviation users at Cairns, Coolangatta, and Canberra.

“The tower charges at these airports will continue to be $7.42 per landed tonne (including GST), even though the actual cost of running the towers is much higher.

“Some people have argued that the Government should force airport users to pay the full cost of providing the tower services. The increase in landing charges would  have a devastating effect on airport users and their local economies.

 “The Government will reduce the Airservices component of the aviation fuel duty to 0.26 cents per litre, a decrease of 0.18 cents per litre. The overall duty rate, which

includes funding for CASA, will remain the same. The duty on aviation gasoline (avgas) will now be 15.67 cents per litre lower than it was when the Howard-Fischer Government took office in 1996.

“Over the last two years, the Government is forecast to have collected $7.6 million more than anticipated in aviation fuel duty. The overcollection was due to the dramatic increase in aviation activity that has occurred as a result of our policies.

“Today’s Budget returns every cent of the $7.6 million to the industry in the form of increased funding for air safety,” Mr Anderson said.


Media inquiries:  Paul Chamberlin 02 6277 7680


          Last Updated: 22/05/2001

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