Federal Infrastructure and Transport Minister Catherine King announced today that public feedback is now being sought on the government’s proposed aviation consumer protection and ombudsman scheme.

There is currently no obligation for airlines to provide compensation to customers in Australia if they cancel or delay flights.

“We want to see a lift in standards for the passenger experience,” King told Today. 

“It’s not been great, particularly post-COVID. It’s getting a bit better, but really this is what this scheme is focused on.”

While not in place in Australia yet, airline consumer protection schemes have been introduced overseas.

Travellers in the European Union are entitled to compensation of up to €600 (about $1070) if they are delayed by three hours or more. 

The United States initially planned to implement a similar compensation policy up to $US775 (roughly $1170) under the Biden administration, but former President Donald Trump recently canceled that plan.

King emphasized that the government’s scheme aims to protect anyone booking flights within Australia, targeting major disruptions instead of minor delays of around 15-20 minutes.

“When people experience significant delays or baggage losses, they often struggle to obtain any form of compensation,” she stated.

“This initiative is designed to make it clear what your rights are, how to assert them, and what airlines and airports are expected to do.”

Consumer group Choice welcomed the proposed scheme.

It said the government needed to ensure the ombudsman was fully independent, and make it clear that customers have a right to compensation for major disruptions.

“The new scheme marks a long-overdue shift in Australia. We deserve clear rights when flights don’t go to plan, not a patchwork of airline policies,” spokesperson Rosie Thomas said.

“However, consumer rights are only ever as strong as the complaints processes to enforce them.

“We’re concerned the proposed aviation complaints body falls short compared with strong, independent ombuds schemes in other concentrated markets. 

“Banks and telecommunications companies have to answer to an independent umpire and the airlines should too. 

“We are also disappointed that the proposal does not include clear rights to compensation for delayed or cancelled flights… this is something Australians also deserve.”