Low-cost start-up Koala Airlines has shown concept art of Boeing 737-8 MAX aircraft overhead Canberra, Brisbane and Perth. Image: Koala Airlines.
There is a saying in aviation – if you want to make a small fortune in the airlines, start with a large fortune!
While Qantas has been a constant in Australia’s skies – albeit through various iterations, ownerships and bailouts – many other airlines have come and gone. These include Ansett, Compass I and II, Impulse, Tigerair, Bonza, and Rex, although Rex continues to soldier on in its original regional form.
Add to that list Virgin Australia which has successfully emerged from receivership with the aid of a US-based equity fund and recently re-listed on the ASX, and those many smaller airlines that have been absorbed or consolidated into the larger brands.
So it was with some foreboding that this author read this morning of a new airline planning to enter the Australian market from 2026, in the form of Koala Airlines.
As a brand, Koala Airlines has been in existence since March 2018, with founder Bill Astling continuing to be involved with the company. In 2019 Koala Airlines acquired Desert Air Safaris, a company which had specialised in air tours and charter flights in Australia, Papua New Guinea and the Pacific for more than 50 years.
A bio on Koala’s website says Mr Astling has been involved in the aviation and tourism for more than 45 years, and that he possesses extensive experience in aviation management, airline restructuring, operations, aircraft chartering, strategy and customer service.
It says Mr Astling has provided consulting services including senior leadership, operational, technical and advisory roles to 12 airlines in the Asia Pacific region including Singapore Airlines, Air India, Angel Airlines, Merpati Indonesia, Sri Lankan Airlines, Jes Air, Antonov Airlines, Malaysian Airlines, Lao Aviation, Vietnam Airlines, Sahara Airlines and some Chinese Airlines starting flights to Australia.
The airline says it has a dedicated team which has been “crafting a fresh approach to aviation”, an approach it says has been “inspired by passion for service, innovation and customer experience”.
It says its strategy will differ from previous entrants in the domestic market.
It says, rather than focus solely on cheaper fares like other low-cost carriers which it says has led to unsustainable competition, Koala will take “a more innovative” but, as yet, undefined route.
Other key personnel on board include Phil Le Liu, a company director who has 15 years of board and committee experience across multiple industries, and chief operating officer Sally Spring who has worked with several airlines in the UK including Air UK, KLM UK, Buzz, and Astraeus Airlines, and worked for The Emirates Group as a senior lecturer and program manager at Emirates Aviation University.
Mr Astling told the AFR at the CAPA Aviation Conference in Cairns in July that the company was “deliberately keeping a low profile” in the lead-up to its launch.
“We’re not trying to be Qantas or Virgin,” he said, adding that he had financial backers “who know aviation”.
“Our model is fundamentally different, and that’s why we’ve attracted the backing we have.
“We’ve deliberately kept a low profile – not because we’re stalling, but because we’re building something with a long-term, sustainable foundation,” he added.
“We’ve learned from the past – both ours and the industry’s – and we’re taking a disciplined, strategic approach.
“We’re on track to start operations late next year. But we’re not in the business of giving our competitors a 12-month head start.”
Concept art released by the airline show it operating in the skies over Canberra, Brisbane, and Perth with Boeing 737-8 MAX aircraft, similar to those operated or entering service with Virgin Australia and Fiji Airways.
