Virgin Australia and Qatar Airways have secured interim authorisation from the Australian Competition and Consumer Commission (ACCC) to work together under a partnership deal with enforceable terms.
The two airlines can now start marketing and selling 28 weekly scheduled return flights between Doha and Brisbane, Melbourne, Perth and Sydney, in addition to Qatar Airways’ existing international services.
They had sought urgent interim authorisation to allow Virgin Australia to begin operating its new Australia-Doha flights from Sydney, Melbourne, and Brisbane in June 2025. Its Perth services will follow in November 2025.
One enforceable term requires affected customers to be given the option of a refund or re-accommodation on a suitable alternative flight without additional costs.
The customers will not also bear out-of-pocket fees for any reasonably foreseeable costs if proposed new services do not get the final regulatory approval from the ACCC and other government bodies.
“We are carefully considering the concerns that interested parties have raised, particularly around the wetlease arrangements and the impact of the proposed exclusivity arrangements between Virgin Australia and Qatar Airways,” said Mick Keogh, ACCC deputy chair.
“Having this court-enforceable undertaking that protects customers was important to our decision to allow Virgin Australia and Qatar Airways to start selling tickets now.”
Qatar Airways and Virgin Australia argue that the proposed five-year alliance will benefit the public through increased capacity between Qatar and each of Sydney, Melbourne, Brisbane and Perth.
Velocity members will also continue to earn and redeem Velocity points on Singapore Airlines-operated services globally, including to and from Europe, the Middle East, and Africa.
The ACCC is expected to release a draft determination in February 2025.
“Virgin Australia will not codeshare on the international flights of other airlines to, from or within the Middle East, Europe, and Africa, and will not acquire or supply any loyalty point accrual services or high value guest services, e.g. benefits such as lounge access provided to Gold members and above, with any airline headquartered in Africa or Europe,” the airlines said in their application.
However, Qatar Airways may still continue its interline and loyalty arrangements with Qantas, as required by its Oneworld alliance membership mandates.
Moreover, the alliance will mean the termination of Virgin Australia’s limited remaining partnership with Etihad Airways, effective June 2025.
