Regulation, competition and the politics of air access across the Pacific

The article examines from a regulatory and political economy framework the 2006 decision by the Australian Government to deny access by Singapore-based carriers to the Pacific Route between Australia and the US. It is argued that a framework of understanding the balance between protectionist and liberal air access policy needs to consider prior international trade provision. Additionally, the mechanics of the decision are considered from the perspective of accessibility, with consideration of commercial reasons and the economics of protectionism. The article traces the decision chronologically, and situates the negotiations between the two governments in the context of the Free Trade Agreement and subsequent revisions to existing air service provision. Conclusions are offered that consider economic realities and the potential for future liberalization of the route.