The Flying Kangaroo has a new animal chasing at its tail. This week, Koala Airlines, a Melbourne-based aviation company, launched a website unveiling its plans to take flight across Australia. This comes just months after the collapse of low-cost carriers Rex and Bonza in 2024.
For decades, Australia’s domestic aviation industry has been dominated by Qantas and Virgin – rooted in the Two Airline Policy introduced by the Australian government in 1952. Koala Airlines doesn’t intend to go head-to-head with these big players, but rather aims to “carve out a unique niche that enhances the industry landscape without disrupting existing standards.”
Exactly what this niche is remains a mystery. However, Koala hinted at its approach on its website: “While many new low-cost carriers have entered the market since 1990 and focused solely on offering cheaper fares, almost entirely leading to unsustainable competition, Koala is taking a more innovative route.”
Simply having a third domestic carrier will give travellers more choice and likely drive down ticket prices, which have been steadily climbing since Rex and Bonza went bust earlier this year.
Founded in 2018, Koala Airlines made a big move the following year by acquiring Desert Air Safaris, a company with more than 50 years of experience operating air tours and charters in outback Australia.
The new Aussie airline is yet to reveal its launch date or what routes will be available, so stay tuned for updates.
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