It's frustrating to be waiting at an airport and watching your flight being delayed on the Flight Directory. It's even worse if it's late at night and the flight is cancelled because it cannot take off before the curfew.
The airline will offer refreshments, meals and accommodation for overnight delays. But what if you don’t want to take the flight anymore?
When it comes to giving a fare refund for flight delays and cancellations, airlines have been very reluctant:
Jetstar policy was that its 'Economy Starter' fares and 'Plus Bundle' fares were non-refundable unless the passenger purchased a flight bundle at additional cost.
Qantas policy was that refunds were not available for its 'Red e-deal' fares.
Tigerair policy was that a "refund admin fee" was payable for a refund, and the refund was only available as a fare credit valid for 6 months only.
Virgin Australia policy was that refunds were not available for its 'Domestic Getaway' and International Short-Haul fares, and the refund was only available as a fare credit valid for 12 months only.
The consumer regulator, the ACCC, has used its threat of legal action for breach of the consumer guarantee that services must be supplied within a reasonable time to have these four airlines agree to offer fare refunds to any passenger who requested one over the past 2 years and in the future.
In addition, it proposes to fine Jetstar $1.95 million because its policy to offer refunds only if a more expensive fare was purchased was far worse than the refund policies of the other airlines.
The result is by no means perfect. Often a passenger has to pay more to another airline for a fare if the flight is cancelled and they may lose their connections. These extra costs are not compensated. Nor is there any fixed compensation available as there is in Europe where up to E600 is payable for a flight delay or cancellation (as an alternative to a fare refund).
For more information click on my briefing note:
