KAP leader Robbie Katter has urged the Federal Government to urgently consider the Qantas 'buy-in' option, as negotiations around the future of Australia's aviation industry continue in the midst of the COVID-19 crisis.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The Federal Government is under pressure to bail out both the private national airlines with Qantas likely to cost $4.2 billion and Virgin Airlines up for $1.4 billion.
The Queensland government has offered support for Virgin but with three Chinese airlines seeking to buy the cash-strapped airline, Mr Katter said the foreign ownership alarm bells were now ringing.
Mr Katter said the federal government should consider buying back a controlling interest in Qantas which was government owned from 1947 to 1992.
"If you have ownership of Qantas then can control the market - you can do this in the interest of all Australians and also our tourism sector," Mr Katter said.
"This is a very unique opportunity to not only block the fire sale of key assets to foreign owners, but also an opportunity to acquire back a strategic asset to be owned by the Australian people."
Mr Katter said market-based solutions for airlines across Australia over the last 20 years had failed, particularly in rural and regional Queensland.
"Since the government sale of Australian Airlines to Qantas in 1992 and the subsequent privatisation of Qantas, prices may have improved between the capital cities but the market conditions have deteriorated in regional areas," Mr Katter said.
"The recent Senate Inquiry revealed pervasive issues throughout regional Australia and offered no real solutions as the government weren't even game to entertain the notion of again owning an airline."
Mr Katter said Qantas could be acquired by institutional government funds like QSuper.
"The less profitable international components could be considered for disposal once market conditions improved again and the domestic routes could continue to be controlled, in the best interest of all Australians," he said.
"This is an opportune moment while the share price is low - we are calling on the Federal Government today to act and to ensure it is the Australian people who are in control of their national carrier, and not the corporate world."
While you are here subscribe to our weekly email direct to your inbox at 6am every Friday