Kimberley Air Route Faces Uncertainty as Nexus Airlines Halts Darwin Flights

A vital air link connecting Western Australia’s Kimberley region with Darwin is set to cease operations at the end of August, sparking fears of increased travel costs and reduced connectivity for remote communities.

Nexus Airlines Exits Competitive Route

Nexus Airlines, one of two carriers servicing the Broome and Kununurra to Darwin corridor, announced its decision to suspend flights due to low passenger numbers and financial unsustainability. Managing director Michael McConachy cited intense competition and aggressive pricing from rival Airnorth as key factors making the route unprofitable.

“Neither operator are getting great numbers on board or good load factors.”

—Michael McConachy, Managing Director, Nexus Airlines

The presence of Nexus Airlines since mid-2023 had fostered a competitive market, significantly driving down fares, in some instances by over a third. However, McConachy stated that while passenger numbers increased by 30 to 40 percent, the overall capacity growth of approximately 300 percent on the route meant “the numbers just don’t stack up long-term.”

Concerns Over Monopoly and Price Hikes

The withdrawal of Nexus Airlines will leave Airnorth as the sole operator on the route, raising concerns about a return to a monopoly and subsequent fare increases. For communities like Kununurra, which is closer to Darwin than Broome, regular and affordable air travel is a critical necessity for residents, businesses, and essential services.

The historical challenge of connectivity in the East Kimberley region means that disruptions or price hikes can have a significant impact. For example, airfares between regional Western Australia and Perth can be more than double the cost of comparable flights to major capital cities, with one-way tickets often exceeding AUD$700 during peak times (ABC News, 2023).

Call for Government Regulation

In light of Nexus’s departure, McConachy is advocating for the Kimberley to Darwin route to be regulated by the government. This would involve government intervention to ensure flight availability and affordability in regional areas where passenger demand may be insufficient to sustain commercial viability for multiple operators.

“We’ve seen this operate very well in other areas of WA, and I think the Kimberley route is very well suited to that.”

—Michael McConachy, Managing Director, Nexus Airlines

McConachy believes that regulation would serve to protect travellers on these essential services, ensuring continued access to vital air transport.