Hundreds of passengers left stranded across Australia after low-cost airline with only 8 planes ditches them

Source: ABC Sunshine Coast: Owen Jacques

Airports across Australia experienced a massive rush and unexpected overcrowding, not because of an upcoming holiday or festival, but because a low-cost airline, Bonza — in which they booked their tickets — unexpectedly announced it has “temporarily suspended services”.

The sudden decision of Australia’s newest budget airline had a direct impact on thousands of passengers who were left stranded at the airports.

Departures of Australia’s Bonza Airlines were impacted across Queensland and Victoria. With cancellations, and mounting anger among passengers, Australia’s Transport Department had to set up an emergency help hotline.

Interestingly, Bonza is the first carrier to launch in Australia in the last 16 years. It was introduced in January 2023, using the slogan “Here for Allstralia” and promised low-cost fares as well as improved regional connectivity.

With Bonza Airlines suspending services, competitors have stepped in to jet out passengers to their destinations.

A BBC report mentioned Australia’s consumer watchdog as saying that the continent’s aviation sector is dominated by two companies – Qantas Group and Virgin Australia. They account for 95 per cent of the nation’s domestic aviation market.

Reports said both – Qantas Group and Virgin Australia – offered to step in and assist passengers stranded mid-journey.

According to a report by CNN, Qantas Group said any affected Bonza passenger can get a free ticket on a Qantas or Jetstar flight where seats are available.

Meanwhile, Virgin Australia, in a post on X (formerly Twitter) said: “We are aware of the temporary suspension of Bonza flights. We will immediately support any passengers stranded mid-journey by offering complimentary seats on Virgin Australia-operated flights to the airport nearest to their final planned Bonza destination.”

But why Bonza Airlines has suspended operation?

Apologising to passengers impacted by the sudden disruption, Bonza CEO Tim Jordan in a statement on April 30 reportedly said that “discussions are currently underway regarding the ongoing viability of the business.”

“We apologise to our customers who are impacted by this and we’re working as quickly as possible to determine a way forward that ensures there is ongoing competition in the Australian aviation market,” the airline further said.

Meanwhile, a report by 9News said Bonza is now in severe financial trouble.

Local media reports said Bonza’s eight planes – a fleet of Boeing 737-Max – were repossessed by creditors on Tuesday, but the airline has not publicly reacted to this claim.

What the Australian government is saying?

Addressing the media on Tuesday, Australia’s transportation minister, Catherine King, said she had spoken with representatives from Bonza and urged them to keep passengers fully informed.

“We have made it very clear to Bonza that our expectations are that they inform passengers about what their options are, what changes are being made, and that they respect their consumer rights, of which they do have some,” Catherine said.

“Our focus right at the moment is to assist Australian passengers who are stranded at the end of school holidays,” she added.