Regional Express plans to run two return services a week from Sydney to Griffith under a proposed network schedule as the airline seeks to tap into the federal government's rescue package for regional airlines.
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The federal government had announced on March 28 a funding package for regional airlines, with $198 million earmarked for maintaining the current aviation network of public flights at a reduced capacity.
The airline announced on Monday evening a proposed network schedule which will run if their application for federal funding is successful - with a combined service from Sydney to Griffith and the Narrandera-Leeton Airports due to run twice a week under the schedule on Tuesdays and Thursdays.
However, Rex has warned they will be forced to suspend services in a number of states - including NSW - whose state government has not provided assistance to the airline if their application for access to the federal government's package falls through.
Rex deputy chairman John Sharp said while the airline was "mindful of the horrifying consequences" rural and regional areas may face without an air service, the airline cannot "continue shouldering this burden" as they work to ensure they remain operating.
"Lives could be lost because medical samples could not be tested in a timely manner or blood could not be transported," Mr Sharp said.
"Rex had been fulfilling this critical and essential community service role in the past two decades without assistance from anyone - and often even losing money on communities with very small passenger numbers - because our heart is in the country and we were profitable enough to do so.
"Rex's first priority is to survive this crisis so that regional and rural communities can count on our air connections to rebuild after the crisis, and long into the future."
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The company had previously planned to shutter services from April 6 as they worked to stem losses coming from a significant drop in passenger numbers due to the coronavirus pandemic.
Griffith City Council had moved to keep the airline providing a service to the city by voting to waive all airport landing charges at Griffith Airport from April 1 onwards and review the decision on a month-by-month basis, but the airline noted all three levels of government would need to provide assistance to keep the service in the air.
A statement released by the airline indicates only two states in which Rex operates in - Queensland and Western Australia - have responded to the airline's call for help in forming a partnership aimed at keeping services running, while "no other states have shown any interest."
The airline expects a decision to be made about their application for federal funding by the end of next week.
Until then, the airline will be operating schedules that 'at least' match the proposed schedule put forward for federal funding.
However, the airline has announced they will be suspending three routes from April 6 regardless, with a routes from Sydney to Newcastle, Sydney to Armidale and Adelaide to Port Augusta suspended.