Prime Minister Albanese was in Merimbula this morning to announce that regional Australia will continue to receive critical aviation services into the future. 

The Federal Government will work with the Administrators of Regional Express Holdings (Rex), as part of an upcoming competitive sale process, to ensure crucial regional aviation services continue beyond 30 June 2025.

“We will work with shortlisted bidders on what support the Albanese Government may be able to provide to maximise the prospect of a successful sale.

Terms of Commonwealth support will be subject to negotiation, but will be conditional on commitments by bidders to provide an ongoing, reasonable level of service to regional and remote communities, the need to provide value for money to taxpayers and good governance.”

“The Government is not a bidder in the upcoming sale process and would like to see a successful market-led outcome. However, in the event there is no sale, the Albanese Government will undertake necessary work, in consultation with relevant state governments, on contingency options, including preparations necessary for potential Commonwealth acquisition.”

With Rex currently operating out of the Moruya and Merimbula airports, Member for Gilmore Fiona Phillips said, “this was great news for South Coast residents.”

The Albanese Government is also providing further support through a waiver of the “use it or lose it” test for Rex regional flight slots at Sydney Airport, which will ensure its access to those slots until 24 October 2026.

“This comes on top of the Albanese Government providing a loan of up to $80 million to keep Rex’s vital regional routes operating until 30 June 2025, and acquiring $50 million of debt from Rex’s largest creditor, PAGAC Regulus Holdings Limited, earlier this year to ensure the airline could continue to operate.

These actions make clear the Government’s ongoing commitment to maintaining access to aviation services for regional and remote communities, and recognises the critical role of the Rex network to local economies.”

Prime Minister Anthony Albanese said “Regional Australians deserve access to quality and crucial regional aviation services. We are working collaboratively with the administrators of REX to ensure that regional services continue beyond June 2025, including looking at what support the Commonwealth can provide.

“Regional Australians can be assured that our Government will continue to fight to ensure these regional airfares remain available.”

Minister for Transport Catherine King said “Regional Australians rely on these important services and the Albanese Government making sure communities outside capital cities aren’t shortchanged.

“When markets fail or struggle to deliver for regional communities the Government has a role to ensure people do not miss out on opportunities, education and critical connections.

“We are recognising that today and stepping in to keep these routes in the air.”