Before ParliamentBusiness & Trade Introduced in the House of Representatives, 01 Apr 2026

Airlines and airports would pay a yearly levy

The government plans a new watchdog to make airlines and big airports meet basic standards. This bill creates the yearly charge that would pay for it. The amounts would be set later.

Official name: Aviation Consumer Protection Levy Bill 2026

Who it affects

• Airlines: They would pay a yearly charge from the 2026-27 financial year on. A financial year runs from 1 July to 30 June. The amount would be set in detailed rules.
• Large airports: Airports covered by the new law would also pay, unless the Minister lets them off.
• Small airports: The government has said airports with fewer than 1 million passengers a year will be left out of the new rules.
• Air travellers: You would not pay the charge yourself. The Parliamentary Library says some of the cost may end up in fares.

Who pays the flyers' regulator

Another bill, the Aviation Consumer Protection Bill 2026, would set basic standards for airlines and airports. These are set out in a list of standards called a Charter. It covers things like delays, cancelled flights, refunds, bags and help for people with disability.

That bill sets up a watchdog called the Aviation Consumer Protection Authority. It is a team inside the national transport department. It checks that the Charter is followed. It acts when it is not. It also looks after a new complaints office that stands on its own, called the Aviation Consumer Ombudsperson.

The government has rules about who pays for its work. They say that when a group creates the need for government work, that group should usually pay for it. So the government wants airlines and airports to pay the watchdog's costs.

This bill creates the charge, called a levy. A separate bill sets out due dates, late fees and refunds. Both were brought in by the Minister for Infrastructure and Transport, Catherine King.

The yearly general levy

Every covered business must pay a yearly levy. This starts with the financial year that begins on 1 July 2026. A covered business is an airline or airport that must follow the main flyers' rights law.

The bill does not say how much anyone pays. The amount, or a way to work it out, will be set in detailed rules. The government writes these rules without a new vote.

Before those rules are made, the Minister must aim for two things. The total should match the watchdog's costs for the year. Each business should pay a fair share of that total.

The rules can set different amounts for different kinds of business. They can set a zero amount. They can work out a part-year charge for a business that joins partway through.

Say a small country airline and a big international airline are both covered. The rules could charge them different amounts. This could be based on their size or how many complaints they cause.

The Minister can let a business off the charge. The Minister can also let a whole group of businesses off. The charge cannot favour one state over another. The Constitution, the top set of rules for Australia, says so.

Working out the yearly cost

Each year the head of the transport department must put out a figure. It shows the expected cost of running the main law and the bill on collecting the charge.

That figure must show public money is used well and not wasted. It sets the total the charge aims to cover.

The Parliamentary Library works for all MPs and takes no side. It notes this cost would include the Aircraft Noise Ombudsperson. That noise complaints office is set up under the same main law. Airports have argued they should not have to pay for the noise office.

Smaller rules

The national government itself does not pay the charge. Some government bodies would owe it if they were businesses. They are treated as if they paid, and money moves between government accounts.

The charge cannot be put on property owned by a state. The Constitution does not allow that.

The Minister and the head of the department can hand some of their powers to senior staff. The government can write detailed rules to fill in the gaps.

Start date

This bill starts at the same time as the key parts of the main flyers' rights bill. Those start on a date the government sets. If no date is set, they start 12 months after the Governor-General signs the bill into law. The Governor-General is the King's representative. If the main bill never starts, this one does not either.

The bill went to the House of Representatives on 1 April 2026. It passed the House on 29 June 2026. It went to the Senate, Parliament's second house, on 30 June 2026. The Senate still has to debate it and vote on it.

How they voted

Its journey through Parliament

Official sources

• Bill page on aph.gov.au
• Text of the bill
• Explanatory memorandum
• Bills Digest

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