Virgin Australia chief executive Jayne Hrdlicka.Credit:Dan Peled
“Fuel prices are at unprecedented levels right now,and it is not easy to see how that comes down – so I think ticket prices will go up,” she told theSydney Morning Herald andThe Age.
“But it’s also[coming from] a very low base,and means you have to recover the cost of increases to fuel,which is twice what it was a year ago.”
The average price of a round trip flight from Sydney to Melbourne is about $130,according to Skyscanner and KAYAK data,with the lowest price at $88 with Jetstar,Qantas’ low-cost carrier.
Since school holidays began a fortnight ago,airlines and domestic airports have struggled to cope with the surge of travellers heading interstate for theFormula 1 Grand Prix and the Easter break. Staffing shortages among security personnel in Sydney Airport and baggage handlers in Melbourne saw passengers waiting inlong,snaking queues for hours,eventually prompting apologies from the chiefs ofSydney Airport andQantas.
Hrdlicka said she was confident that the scenario will not be repeated at the end of the year,as people take off for their Christmas holidays,with most issues expected to be resolved as early as July.
Over the past two years,the pandemic has grounded flights,led to mass redundancies among Virgin andQantas,and saw Virgin fall into administration before beingbought by American private equity giant Bain Capital.
“We’ve got certainty back,” the Virgin boss said. NSW and Victoria on Wednesdayscrapped close contact isolation requirements,a key reason behind staffing shortages over Easter.