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COWTH OCCURRED IT WOULD BE REASONABLE AT LEAST TO WAIT UNTIL The SCHEDULED OPERATORS HAD RECOVERED THEIR PREVIOUS LEVEL OF FREQUENCIES BEFORE INTRODUCING COMPETITION. THERE WOULD THEN BE A DIFFICULT PROBLEM OF PHASING THE INTRODUCTION OF CHARTERS, SINCE BOTH SIDES REGARDED TWO SERVICES A WEEK WITH WIDE-BODIED AIRCRAFT AS THE MINIMUM THAT AN OPERATOR WOULD FIND ECONOMIC AND THE AUSTRALINAS INDICATED THAT THEY WOULD NOT BE PREPARED
TO ALLOW A UK OPERATOR TO START UNLESS THERE WERE A
CORRESPONDING AUSTRALIAN OPERATOR. THE ECONOMCIS OF THE NEW LOW FAREC WERE FINELY PITCHED AND DEPENDED ESSENTIALLY UPON SUSTAINING A VERY HIGH SEAT FACTOR THROUGHOUT THE YEAR. THUS, TOTAL CAPACITY WOULD NEED ALWAYS TO BE KEPT CLOSELY IN STEP WITH DEMAND. AT THE GROWTH RATES EXPCTED ONCE THE SCHEME HAD SETTLED DOWN, IT WOULD REQUIRE CAREFUL PLANNING TO BUILD UP TO A TOTAL OF FOUR CHARTER SERVICES PER WEEK ESPECIALLY IF, AS SEEMED ONLY REASONABLE PART OF THE GROWTH WAS ALLOTTED
TO THE SCHEDULED OPERATORS.
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CLEARLY IT.
THE
ON THE
SUMMİNG UP, ROGERS SAID IT SEEMED THAT BOTH SIDES WERE AGREED THAT A COMPETITIVE SPUR, EITHER CHARTER OR SECOND SCHEDULED CARRIER, WAS IN PRINCIPLE DESIRABLE AND THAT THE QUESTIONS TO BE ANSWERED WERE HOW AND WHEN. COULD NOT BE IN THE IMMEDIATE FUTURE, IN VIEW OF THE PROBLEMS STILL TO BE OVERCOME IN INTRODUCING THE NEW SYSTEM OF SCHEDULED SERVICES AND THE VERY BIG RISKS INVOLVED. UNCERTAINTIES ATTENDANT ON THE NEW REGIME PROBABLY RULED OUT ANY COMMITMENT AT THIS STAGE TO A DEFINITE DATE. OTHER HAND, HE WOLD NOT WANT THIS QUESTION TO BE LEFT INDEFINITELY ON ONE SIDE. SINCE THE UK HAD TAKEN THE INITIATIVE IN RAISING THIS QUESTION AND THE AUSTRALIANS WERE SO BURDENED WITH MORE PRESSING ISSUES, WE WOULD CONSIDER THE PROBLEMS THAT HAD EMERGED FROM THIS VERY USEFUL DISCUSSION AND FORMULATE MORE SPECIFIC PROPOSALS AS TO HOW COMPETITION (WHETHER SCHEDULED OR CHARTERED) COULD BE INTRODUCED IN AN ORDERLY MANNER AND ON A BASIS OF FAIR COMPETITION, WITHOUT
THIS DAMAGING THE SYSTEM WE WERE CURRENTLY ESTABLISHING. MIHT WELL TAKE A FEW MONTHS. WE WOULD THEN ARRANGE ANOTHER DISCUSSION TO CARRY THE MATTER FURTHER.
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