Virgin Australia has launched launched commercial services with the first of its new ATR 72-500s. The inaugural flight of Virgin Australia’s first turboprop - and Australia’s first ATR 72 – on October 17 was also the airline’s first flight from Brisbane to the regional industrial city of Gladstone.
Perth-based Skywest will operate the new ATR services on behalf of Virgin Australia, with a fleet of eight 68-seat ATR 72 aircraft. The airline has orders for four of the series 500 model – three of which have now been delivered - and four of the next-generation series 600 model. Skywest also has options to acquire another five ATR 72-600s, all of which it will operate for Virgin.
In addition to Gladstone, Virgin will operate the ATRs on a range of other regional or short-haul primary routes, including Brisbane - Port Macquarie and Sydney - Port Macquarie, commencing this week. This will be followed by routes including Sydney - Canberra and another new market, Brisbane - Emerald.
The turboprops will replace the airline’s Embraer 170s on the two Sydney routes and at the same time will boost the frequency of the Canberra route by increasing the weekly flight count to 60. Virgin Australia currently handles a 23 per cent share of the traffic on this route, approximately 212,000 of the 926,000 O&D passengers that flew between the destinations in the past year, while it has a 33 per cent share of the 174,000 O&D passenger Sydney - Port Macquarie market. The airline has seen its share of traffic on each route reduce in the past 12 months as Qantas has strengthened its own position in these domestic markets through its QantasLink subsidiary.
The Brisbane – Gladstone route is being operated twice every weekday and places the airline in direct competition with QantasLink and Strategic Airlines. Regional carrier Qantas Link dominates the market with a 96 per cent share of the 187,000 O&D passengers that flew between the two destinations in the past year and this is no surprise given that it offers up to eight Bombardier Dash 8 flights every weekday. Strategic Airlines offers a twice daily weekday flight but uses a larger Airbus 320 on its own services.
According to Virgin Australia Group’s Executive of Alliance, Network and Yield, Merren McArthur, the introduction of the Gladstone route reflects the airline’s commitment to the expansion of its regional network. “Gladstone is a booming city with a thriving economy that supports the resources, tourism and primary production sectors. We have introduced a schedule to suit both the corporate and leisure traveller in this very important market,” she said.
Meanwhile, flights between Brisbane and Port Macquarie on the New South Wales mid-north coast will be operated once every weekday and will mean passengers will no longer need to transit via Sydney when visiting Queensland.
An estimated 11,000 O&D passengers travelled on the route in the past year with around 45 per cent flying with Virgin Australia via Sydney. Regional carrier Brindabella Aviation has served this market directly over the past year on a charter basis, carrying around 5,000 passengers.
“Virgin Australia needed an aircraft type which would provide an economic entry into new regional routes, and cost-effective expansion of a range of existing markets,” explained Filippo Bagnato, Chief Executive Officer of aircraft manufacturer ATR.
“The ATR 72 is that aircraft, offering both the lowest cost and the greenest option in the regional segment, while delivering a spacious, quiet cabin environment for passengers. We are delighted that Virgin Australia and Skywest have selected our aircraft for the next step in Virgin’s growth strategy,” he added.
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