Link Airways will suspend all services from Shellharbour Airport from May 20, saying the routes are now losing the company tens of thousands of dollars a day due to soaring fuel prices and falling passenger demand.
Network Strategy Manager Jeff Boyd said the airline could no longer absorb the heavy losses, noting that the Shellharbour market is highly price‑sensitive and that passenger numbers in the past month were “shocking.”
Boyd also criticised the lack of government assistance for regional carriers during the fuel crisis, arguing it was unfair that one airline receives support while others do not. His comments referenced recent federal backing for Rex, including a $5 million package for affected airports, a $60 million commercial loan, and the restructuring of $108 million in debt as part of Rex’s sale to Air T.
Flights linking Shellharbour with Melbourne and Brisbane will be paused indefinitely. Link Airways the airport’s only commercial carrier has operated there since 2018.
Boyd said the decision was driven by factors outside the airline’s control. Fuel costs have nearly doubled since the outbreak of the Middle East conflict, and although fares were increased slightly five weeks ago, it was not enough to offset the spike. Broader economic pressures are also dampening demand, with travellers cutting back on discretionary spending.
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