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An aerial view of Kingsford Smith Airport in Sydney.
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Sydney Airport has welcomed the appointment of a new, independent slot manager after the government-led tender was awarded to UK-based Airport Coordination Limited (ACL).
ACL will replace a joint venture between Qantas and Virgin Australia, a partnership responsible for slot allocation at Sydney Airport since the framework was legislated in 1997.
“The appointment of a new, independent slot manager marks another step toward a more competitive, transparent, and efficient slot framework at Sydney Airport,” Sydney Airport CEO Scott Charlton said.
“Airport Coordination Limited group brings extensive global experience which will benefit passengers, our 52 airline partners, and future entrants. We commend Minister King, the Department, and the Albanese Government for their commitment to delivering this crucial reform.
“Sydney Airport will continue to work constructively with all stakeholders on the implementation of further commitments, including a recovery period and a strengthened compliance regime.”
ACL, which coordinates slots 75 airports worldwide, manages operations at major hubs such as London Heathrow, Dubai, Abu Dhabi and Auckland, according to its website. Sydney will be the 76th.
The Australian Airports Association (AAA) welcomed the introduction of an independent slot manager at Sydney Airport.
“This follows a competitive tender process, designed to enhance competition, improve regional connectivity, and increase overall efficiency within the demand management scheme,” CEO Simon Westaway said.
“We look forward to the Federal Government’s rollout of broader Sydney Airport slots reform, including the implementation of new regulations later this year.”
The appointment of an overseas company upset sone, KCM Trade chief market analyst Tim Waterer told Reuters.
“The decision to go with a foreign firm to handle slots at Sydney airport has no doubt ruffled a few feathers in the Australian aviation industry,” he said.
“ACL has been given a 3-year contract, so time will tell if the change brings about improved slot allocations.”
Slot management at Sydney Airport has faced increasing government and public scrutiny amid slot hoarding allegations against Qantas and Virgin Australia.
Transport Minister Catherine King initiated the move for a new slot manager at Sydney Airport in February 2024, warning of stricter regulations should the Qantas-Virgin joint venture retain the role.
“Our reforms to the slot system at Sydney Airport are an important part of improving competition and significantly increase transparency,” Minister King said at the time.
Slots at Sydney Airport remain highly coveted during peak hours, with strict noise restrictions limiting the number of aircraft permitted to land per hour.
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