Government would collect a yearly levy from airlines
Airlines and big airports would pay a yearly charge to fund a new watchdog for flyers. This bill covers the paperwork side. That means due dates, late fees, let-offs and appeals.
Official name: Aviation Consumer Protection Levy (Collection) Bill 2026
- This is the collection half of the charge that pays for the new watchdog for flyers.
- Detailed rules would set when the charge is due and if it can be paid in parts.
- Late payers would pay an extra 20 per cent a year on the amount they owe.
- The head of the transport department could let a business off in rare cases. Businesses could appeal.
Who it affects
- Airlines: They would pay the charge on time or face a late fee. Unpaid amounts could be chased as a debt.
- Large airports: The same payment rules would apply to airports covered by the new law that protects flyers.
- Air travellers: Nothing changes directly. But the Parliamentary Library says some of the cost may be passed on in fares.
Chasing the airline levy payments
A bill called the Aviation Consumer Protection Bill 2026 would set new rules for how airlines and airports treat flyers.
It sets up a watchdog to check those rules are followed. The watchdog is called the Aviation Consumer Protection Authority. It is a team inside the federal transport department.
The same bill makes two new complaints officers who stand apart from the government. One would deal with flyers' own complaints. The other would look at how complaints about aircraft noise are handled.
The government wants the airline industry to pay for the watchdog. A partner bill sets up a yearly charge on airlines and airports. Its name is the Aviation Consumer Protection Levy Bill 2026. A levy is a charge on a group of businesses.
This bill sets out how that money is paid, chased and paid back. The Minister for Infrastructure and Transport, Catherine King, brought in both bills.
Due dates and part payments
The bill does not set a due date itself. The government will write detailed rules that say when the charge must be paid. It can do this without a new vote in Parliament.
Those rules can also let a business pay in parts. The department says it will talk to airlines and airports about these details first.
Late fees and debts
If a business does not pay by the due date, it owes a late fee. This is 20 per cent a year on the amount it owes. The rules can set a lower rate.
Say an airline owes $100,000 and pays six months late. At 20 per cent a year, it would owe about $10,000 extra.
An unpaid charge and late fees become a debt to the federal government. The head of the transport department can take the business to court to get the money.
Waivers, refunds and returns
The head of the department can let a business off all or part of the charge or late fee. This is only for rare and unusual cases. A business can ask in writing, or the head can decide alone.
The detailed rules can let the charge be cancelled, cut or paid back in some cases.
They can also make businesses fill in forms. These forms give the facts needed to work out what they owe.
Breaking these rules could bring a court fine of up to 50 penalty units. A penalty unit is a fixed dollar amount used to set fines. This kind of fine does not mean a criminal record.
Challenging a decision
Say a business is unhappy with a decision on letting it off. It can ask for the decision to be checked again within 21 days. A more senior official who was not involved must check it.
That official has 30 working days to decide. If they miss that deadline, the first decision stands.
After that, the business can go to the Administrative Review Tribunal. That is a body that checks government decisions, like a court but less formal.
The head of the department can also hand these powers to senior staff in the department.
Start date
This bill starts at the same time as the partner charge bill. That bill starts with the main bill that protects flyers. If the partner bill never starts, neither does this one.
The main parts start on a date the government sets. If no date is set, they start 12 months after the bill becomes law.
The bill was put to the House of Representatives, the larger house of Parliament, on 1 April 2026. The House passed it on 29 June 2026.
It went to the Senate, the second house of Parliament, on 30 June 2026. The Senate still has to debate it and vote on it.
How they voted
| Vote | Result |
|---|---|
| Vote on a change House of Representatives, 29 June 2026 Labor 85 no, Liberal 18 aye, Nationals 10 aye, LNP 9 aye, Independent 8 aye, 1 no, Greens 1 aye, One Nation 1 aye | Noes won 86 to 47 |
Its journey through Parliament
| 01 Apr 2026 | House of Representatives: Introduced and read a first time |
| 01 Apr 2026 | House of Representatives: Second reading moved |
| 25 Jun 2026 | House of Representatives: Second reading debate |
| 29 Jun 2026 | House of Representatives: Second reading debate |
| 29 Jun 2026 | House of Representatives: Second reading agreed to |
| 29 Jun 2026 | House of Representatives: Third reading agreed to |
| 30 Jun 2026 | Senate: Introduced and read a first time |
| 30 Jun 2026 | Senate: Second reading moved |