ACCC to keep “close eye” on airport profits as industry recovers from pandemic

Australia’s four largest airports made about five per cent of their combined pre-pandemic profit over the past two years, according to the ACCC’s latest Airport Monitoring Report.
The report also showed the number of domestic and international passengers using the four airports (Sydney, Melbourne, Brisbane and Perth) in 2020-21 was between about 17 per cent and 40 per cent of their average pre-pandemic levels.
Yet, despite this, Sydney, Brisbane and Perth airports still recorded operating profits in 2020-21, although their margins fell sharply.
Victoria’s longer periods with COVID travel restrictions contributed to an operating loss for Melbourne Airport in 2020-21.
“Unsurprisingly, the pandemic resulted in far fewer passengers visiting our four largest airports and that led to greatly reduced operating profits and margins,” ACCC commissioner Anna Brakey said.
“Despite severely reduced aeronautical revenues, Sydney, Brisbane and Perth airports were still able to turn a profit last financial year as a result of reduced operating costs.
“This is a surprising result given the impact of the pandemic on the aviation industry, and it demonstrates the resilience of the airports.”
According to the ACCC, airports have substantial market power, prompting the consumer watchdog to keep a close eye on their profit margins as the industry recovers from the pandemic.
In February this year, the Supreme Court of Western Australia ruled that Perth Airport had likely exercised substantial market power in negotiating aeronautical charges with airlines in 2018.
The ACCC said it is not surprised by the court’s finding, and prior to the pandemic had raised concerns about the sustained high-profit margins earned by Sydney, Melbourne, Brisbane and Perth airports.
“The Perth Airport and Qantas case, combined with our own findings over a long period, suggest the Government’s Aeronautical Pricing Principles are currently not assisting airlines in their negotiations with all airports as intended,” Brakey said.
“We’ll consider what can be done to improve how the Aeronautical Pricing Principles operate in commercial negotiations.”
Retail chains operating at Sydney, Melbourne, Brisbane and Perth airports told the ACCC that their sales turnover in 2020-21 was only about five per cent of their pre-pandemic average. As a result, many retailers at the four airports had to close their operations.
Hire car operators at the four airports also told the ACCC that their revenues were between about 10 per cent and 50 per cent of pre-pandemic levels. Some of the hire car companies had to close their booths at airports and sell parts of their fleets to generate enough cashflow to continue.
All four airports provided various levels of financial support to commercial and property tenants in 2020-21, such as rent relief, rent deferral and waiving fixed payments.
Image source: iStock/Lighthousebay
Email the Travel Weekly team at traveldesk@travelweekly.com.au
accc airport Airport Monitoring Report Anna BrakeyLatest News

Klook hosts inaugural Partner Awards with Tourism Australia’s Pip Harrison as special guest
Travel activities and experiences booking platform, Klook, held its inaugural Klook Partner Awards event in Sydney last night honouring its top-performing and best-loved merchant partners. Tourism Australia’s Pip Harrison, who was invited to the event as the guest of honour, spoke about the importance of experiences. “I think that experiences are absolutely everything,” she said. […]

APT Travel Group launches early release of 2026 Canada and Alaska Holidays
For anyone with clients craving an icy getaway, APT is serving up some steals right now.

Film, photography and so much more to explore this year in Berlin
Often known for its grungy aesthetics, or perhaps a currywurst stall, there's so much more on offer this year in Berlin.

TravelManagers welcomes two new directors to HOTA Board
We wish Narendra and Judith the best of luck in trying to remember the rest of the Boards' names.

Tauck celebrates 100 years of hosting travellers around the globe
Tauck would only ever celebrate its 100th birthday in pure style - and Italy is just that!

Travelglobe unveils exclusive food tour with MasterChef’s Kirsten Tibballs
Fancy brushing up on your skills making delicious chocolate and pastry-based treats? Meet us on this tour!

Fiji Airways to bring South Australians closer to paradise with third weekly flight from Adelaide in April
South Australians might say they're already in Paradise, but how can they be sure without checking Fiji out?

Bookings for Vanuatu surge with Aussies ready to support earthquake-struck tourism hotspot
In times like those Vanuatu is surfacing from, the tourism dollar goes a long way and Aussies aren't holding back.

Bullo River Station shares its first ever sustainability report
If you would like to be inspired to be a little more green, then check out what Bullo River Station is up to.

‘Fortune favours the bold’: luxury brand leader Anna Burgdorf departs Flight Centre after 6 years
Time for a pop quiz - who first came up with above quote? Was it A) Virgil B) Shakespeare or C) Aristotle?

Cruise Guru unveils Channel Nine show featuring Ponant, Viking, NCL and more
A little offended that we weren't invited on as the 'Cruise Guru' ourselves, but we'll be tuning in regardless.

Explore Worldwide gives agents a chance to win an exclusive Sri Lanka famil
It's like finding a ticket in Charlie and the Chocolate Factory! And the prize is even better than unlimited sweets.

Heathrow Airport to upgrade operations as part of multi-billion-pound cash injection
We're usually a bit scared of injections, however a 'cash injection' is one we would welcome with both arms (literally).

Club Med announces Manveer Ramdhian as new MICE manager in Pacific
Rest-assured, being a MICE manager has nothing to do with our furry little friends.

Sydney Airport welcomes daily flights from Hong Kong Airlines
To top it all off, it looks like the representatives scored a cracker of a day for the celebratory photo!

Collette’s Karen Deveson on what Aussies really want from luxury
For Aussies, we're a little bit more laid back when it comes to luxury. No gold-plated cars for us, thanks!

Intrepid Travel partners with Helloworld Travel for exclusive food tour with Luke Nguyen
Vietnamese is one of our favourite cuisines, so we're headed to the Bánh mì shop for lunch in celebration.

Quark Expeditions opens its Antarctic 2026/27 season
You'd have to be Quarking mad to not have a trip like this on your bucket list.

Federal government to purchase REX Airlines if no buyers arise, Albanese says
News that is sure to ruffle some feathers in the offices of competing airlines this morning, but we're all for it!

Topdeck discounts select 2025-26 trips with up to $1,000 off
Knowing my Gen Z sister, that $1,000 saved would be headed straight to the shopping fund.

Windstar Cruises unveils ‘Basil + Bamboo’ on Star Seeker yacht
Don't worry, we're talking about a restaurant here, not the materials used to build the stunning yacht.

Captain Cook Cruises celebrates 55 years of excellence on the water in the habour city
With a view like Sydney Harbour as your office this would be a hard job to leave.

TravelManagers’ Michael Gazal: ‘Agents are spending a lot of time on bespoke trips’
If you haven't already thrown out your cookie cutter mentality, please do so now.

JP Morgan Chase grows travel offering with tech partnership
Our inner bohemian spirit strongly objects to buying travel from an investment bank. #sorrynotsorry

Helloworld celebrates Valentines Day with Air Ticket sale
Nothing gets travel agents' hearts fluttering more than discounted air fares. It is a love language.

Agents return from Sno’n’Ski Whistler and Vancouver famil
If you want to be really jealous this lunchtime, check out what these four agents got up to in Vancouver.

2025 Taipei Lantern Festival lights up Ximending
We hope our boss currently on the ground is as impressed with the snake lantern in person as we are behind the screen.

Numbers reveal how hard it REALLY is to become ATIA accredited
If you have ever failed to be accredited by ATIA then this article will make you feel better. Dust off that form!

Travel agent STILL waiting on $15k Bamboo Airways refund 16 MONTHS after carrier left Australia
This has motivated us to stop complaining about the time we got one less chicken nugget than expected.

AIME 2025 is underway!
If you're headed down to AIME we hope you brought your networking shoes because it's going to be big!

dnata spends $17m on inflight catering centre at Western Sydney Airport
Airline food has come a long was from the days you would be given a dry roll and a long strip of cheese. Time for lunch?

AYANA Bali invites guests to experience the Sacred Day of Silence
When our Balinese taxi driver informed us that it was 'time to be silent', we just assumed we were talking too much.

Brand USA launches inaugural ‘Ambassador Panel’ for ANZ agents
Interested agents need to send in a video of them singing 'Born in the USA'. Okay we made that up...

Experience Co. calls on marketing expertise of Unique Tourism Collection for Wild Bush Luxury
You no longer need to choose between experiencing bush or experiencing luxury. You can do both!

Deserts, dates and doors: Inside the secret Kingdom of Saudi Arabia
For a trip that talks the talk, we can assure you, it certainly walks the walk!

Paw-Patrol returns to Reflections Bermagui as groups boasts $3.5m economic boost
Be careful where you leave your lunch around this holiday park, there will be plenty of noses paying attention.