The New Aviation Industry Ombudsman: Here's What We Know

Airlines will soon be required to pay compensation for delayed flights.

On Monday 26 August 2024, the Federal Government released their highly anticipated Aviation White Paper outlining the path forward for Australia’s aviation sector. The White Paper includes 56 policies setting the direction for the industry, including the establishment of an independent Aviation Industry Ombuds Scheme and an Aviation Customer Rights Charter.

These initiatives will set out clear guidelines for how airlines must handle issues such as flight cancellations, delays and compensation. Here’s what we know so far.

What is the Aviation Industry Ombuds Scheme?

Replacing the Airline Customer Advocate, the new Aviation Industry Ombuds Scheme will cover both domestic and international airlines operating in Australia, as well as airports. It aims to ensure greater accountability from airlines, especially concerning flight delays, cancellations, refunds and compensation.

What will the Aviation Industry Ombudsperson do?

The Aviation Industry Ombudsperson will have the power to oversee and resolve customer complaints related to airlines and airports, potentially forcing airlines to compensate customers for delayed or cancelled flights. They will ensure that refunds are processed promptly where applicable.

In addition to handling complaints, the ombudsperson will publish reports on airline and airport conduct and make policy recommendations to the Australian Government to further protect consumer rights.

Aerial shot of planes at an airport — The Aviation Industry Ombuds Scheme will ensure greater airline accountability. (Image: Skyler Smith)

Why is the Aviation Industry Ombudsperson being introduced?

The Aviation Industry Ombudsperson is being introduced in response to growing frustration from Australian travellers regarding poor customer service, lengthy delays and difficulties obtaining refunds or compensation from airlines. It comes after increased scrutiny of airline practices and a push for stronger consumer protections.

What is the Aviation Customer Rights Charter?

The Aviation Customer Rights Charter, developed alongside the ombudsman, will offer a clear and accessible outline of passengers’ entitlements. This includes guidelines on when passengers are entitled to cash refunds, compensation for delays and cancellations, as well as outlining airlines’ obligations in other areas, like lost luggage and customer service standards they must meet. The goal is to create consistent and enforceable standards.

Plane on tarmac at sunset — The Aviation Customer Rights Charter will offer a clear and accessible outline of passengers’ entitlements. (Image: Rocker Sta)

Will it have an impact on domestic flight prices?

The immediate impact on domestic flight prices is uncertain, though airlines may pass the cost of compliance onto passengers. However, increased accountability could lead to a more reliable aviation industry, ultimately benefitting passengers by reducing the indirect costs of travel disruptions.

Will it improve airline performance?

Yes, the introduction of the Aviation Industry Ombudsperson is expected to improve airline performance by encouraging compliance with stricter service standards and increasing transparency in how airlines handle delays and cancellations.

Plane wing above the clouds — Domestic flight prices may increase. (Image: Tom Barrett)

How can passengers claim compensation?

Passengers will be able to lodge complaints through a streamlined process overseen by the ombudsperson. They will mediate disputes and enforce compensation when applicable. Further details on the claims process will be made available once the system is fully operational.

When will it be implemented?

The Aviation Industry Ombuds Scheme will be set up to resolve disputes between airlines and passengers by 2026.

Plane engine as aircraft flies above clouds — There has been growing frustration from Australian travellers regarding the aviation industry. (Image: Emiel Molenaa)

What does this mean for airlines?

Airlines will face stricter customer service standards and could be required to compensate passengers for cancellations, delays or other service failures. They will also be required to “show cause" for why flights are delayed or cancelled. Additionally, the Government will review its travel purchasing policies to ensure fairness and transparency in airline booking practices.

“We will also increase the transparency of airline performance, with more data on performance and competition to be published by the Bureau of Infrastructure and Transport Research Economics (BITRE)," federal transport minister Catherine King said.

What are the airlines saying?

“We welcome the release of the Aviation White Paper and the opportunities it presents to improve regulatory and policy settings, ensuring all Australians continue to benefit from a competitive and sustainable aviation industry in the years ahead," a Virgin Australia spokesperson told Australian Traveller.

“We are closely reviewing the policy position on various topics and we look forward to working collaboratively with the Government and other industry participants during this process."

How does it work in the rest of the world?

In the European Union, aviation ombudsmen and strong consumer protection laws, such as the EU’s Regulation 261/2004, are already in place. This regulation guarantees compensation for long delays and cancellations unless caused by extraordinary circumstances.

In the United States, there is no standalone aviation ombudsman. Instead, airline disputes are primarily handled through federal agencies like the Department of Transportation (DOT), which regulates airline consumer protection, with rules on compensation for overbooking, mishandled baggage and tarmac delays. However, compensation for flight delays or cancellations is not as robust as in Europe, with airlines mostly determining their own policies.

Person looking at flight schedule in airport — Airlines will be required to “show cause" for why flights are delayed or cancelled. (Image: Erik Odiin)

Newcastle’s vibrant creativity is evident everywhere, from a thriving live arts scene to an ever-growing offering for gourmands. Those with a hunger for new and exciting experiences should put Newcastle on their radar.

When it comes to consuming the culture of a city, digesting it (in the literal sense) is an appropriate place to start. But it’s not just a world-class wining and dining scene that’s on the menu (not to mention all the new restaurants in Newcastle ). Newcastle – just two hours north of Sydney – offers the perfect blend of arts, culture and culinary experiences that make it a prime destination for an extended escape. The city’s creative future looks even brighter with the reopening of the highly anticipated Newcastle Art Gallery on the horizon.

aerial of Nobbys beach in newcastle nsw — Newcastle offers the perfect coastal setting for the arts and delicious eats. (Image: City of Newcastle)

Given Newcastle’s compact size – many venues are within easy walking distance or a quick drive away – you can immerse yourself fully. From decadent patisseries to fine diners and casual coastal eats, here’s a fresh taste of Newcastle: where to eat, drink and soak up the coastal city’s good vibes.

1. Pastry cafes in Newcastle

pastries next to a pastry box from crumb cafe in newcastle — Lean into Newcastle’s pastry renaissance at Crumb. (Image: Jemma Donkin)

Pastry is having a moment, with a quietly booming scene led by CRUMB, the brand-new pastry cafe in Lambton led by legendary Gareth Williams (of Covered in Crumbs, EXP) and Ben Richardson (Autumn Rooms). Gareth describes his style of food as ‘creative chaos’. Enjoy that abstract artisanal approach over a savoury chorizo, bechamel, cheddar and poppy pastry, or a layered mortadella and pesto mayo croissant sandwich.

Meanwhile, Leibe European Pastries, Pekárna, Union St Pastry and Praise Joe also have their own flair and loyal followings. While Liebe European Pastries is famed for layered German pastries such as Franzbrötchen, Pekárna’s signatures (like cardamom pastries) are tethered to Czech traditions.

Head a few blocks west to Wickham, where Union St Pastry is the pinnacle for lovers of European-style viennoiseries, such as croissants and Danishes. A getaway to Newcastle also looks pretty fabulous with a mega brownie or chicken little toastie from Praise Joe .

2. Destination dining

Blanca resuarant in newcastle nsw — Step inside Mediterranean-inspired eatery, Blanca. (Image: Destination NSW)

Life looks pretty peachy from a table at the breezy Mediterranean-inspired eatery Blanca , which would not be out of place in Mykonos – when it swooped into the Honeysuckle Precinct a few years ago, it caused heads to swivel. Say yasou to mezedes of crudo di mare and sheftalia and grilled Abrolhos Islands’ octopus.

One may also fantasise about being back in Europe – specifically the 10th arrondissement in Paris – at Frenchie , the oh-so-French bistro that offers Euro-chic elegance with an inventive Australian flair. Indulge in the Date Night set menu, available every Thursday.

Peregrin is another stand-out. Listen to the sound of the ocean from the rooftop terrace, and order a Summertime Sour during aperitivo hour. Followed by the yellowfin tuna with pickled cucumber and market fish. And brand new on the scene is Papalote – a joint venture from the incredibly talented owners of Humbug and Flotilla serving up tasty Mexican classics.

3. Casual coastal cafes and kiosks

people swimming at Newcastle Ocean Baths — Follow Newcastle’s coastline for stunning views and tasty eats. (Image: David Diehm)

What better way to soak in Newcastle’s legendary coastline and stunning beaches than by visiting its casual coastal eateries while on the Bathers Way?

Enjoy hot chips and scallops on the sand at Swell Kiosk Bar Beach . Or a housemade sausage roll after a morning surf at Newcastle Beach, thanks to Southy Canteen , which is open from 6am.

Bring your furry travel companion to Sunnyboy Kiosk for a piccolo and puppuccino with views out to Dixon Park Beach. Try light eats, like acai bowls, or more substantial meals like nasi goreng at Blue Door in Merewether. Do a few lazy laps at Merewether Ocean Baths (the largest in the southern hemisphere) before tucking into swordfish skewers and salad at Merewether Surfhouse .

You can also watch the ocean compose a bit of magic from your perch at The Kiosk Newcastle Beach , where a matcha latte looks even better with the beach fresco.

Pause between eats to take in the iconic Newcastle Ocean Baths and Bogey Hole – perfect for a digestive swim or scenic picnic spot.

4. Hatted restaurants in Newcastle

couple eating at Flotilla newcastle — Flotilla serves up delicious meals. (Image: Destination NSW)

In recent years, Newcastle’s restaurant scene has evolved to include venues that have elevated the city’s reputation for culinary excellence. In addition to its cafes and kiosks, there’s now an exciting wave of hatted favourites putting Newcastle on the map.

Humbug is the epitome of Novocastrian dining; the mafaldine with brisket and beef cheek braised in Pedro Ximenez is emblematic of what the owners aim for here. Flotilla neatly knits the Newcastle wining and dining scene together, with young gun Josh Thurston showcasing the art of cooking proteins and produce over fire.

Bistro Penny is another sophisticated, hatted dining destination in Newcastle. Order the barbecued king prawns swimming in a saffron broth and the oxheart tomato salad.

5. Newcastle nightlife

Bartholomew's small bar in newcastle nsw — Stop by Bartholomew’s for a drink. (Image: Destination NSW)

As the sun dips in the west, so the city of Newcastle’s nightlife springs to life. Maru Hi-Fi is the next-gen small bar that’s redefining a night out in Newy – the sleek space serves great cocktails and embraces Newcastle’s alt attitude. Next door, Jams Karaoke & Bar is also bringing the vibes.

If a small bar in a grand old building is more your style, check out Roxanne , Bar Mellow and Bartholomew’s .

Start planning your Newcastle culinary coastal getaway this summer at visitnewcastle.com.au.

Flight delays and refunds? Australia’s new aviation watchdog will help