This bill is currently before Parliament.
Budget, tax & economy
Airlines and airports covered by the scheme must pay the annual charge used to fund aviation consumer protection work.
The government said the charge would make regulated airlines and airports fund the Aviation Consumer Protection Authority, the government regulator responsible for industry-wide consumer problems. It said more than one in two Australian adults flew between August 2024 and August 2025, and half of those travellers faced a disruption. Only one-third were satisfied with how their disruption was handled. The bill sets up collection and enforcement, but leaves the charge amount and calculation method to future rules.
Australia's existing aviation consumer system left passengers dissatisfied with how airlines and airports handled their obligations, and the 2024 Aviation White Paper committed to an ombuds scheme and consumer charter. After consultations in 2024 and 2025, the government introduced a four-bill reform package, with Hon Catherine King MP introducing this Collection Bill to fund the new regulator's administration; the House passed it on 29 June 2026 and Senate consideration began the next day.
Sam Birrell (National Party) argued the wider four-bill package created more paperwork than accountability and offered no direct compensation for delays, cancellations or damaged baggage. He also warned that new costs could hurt smaller regional operators and said a promised exemption for airlines carrying fewer than one million passengers was not written into the bills. Monique Ryan (Independent) argued passengers would still lack automatic compensation and Parliament had not received the proposed passenger-rights charter. She also said broad exemptions and limited coverage of booking agents and some connecting services could leave gaps.
Hon Catherine King MP introduced this bill. Supportive speeches so far have come from Labor, some crossbench members.
Did it become law?
Not yet
Final passage
No final vote yet
The bill has not yet completed passage through Parliament.
Days since introduction
128 days
Updated 07 Aug 2026.
Meaning
Airlines and airports covered by the scheme must pay the annual charge used to fund aviation consumer protection work.
Airlines and airports may pay the charge in instalments if future rules allow it. Those rules will also set payment dates.
Airlines and airports that pay late face a penalty of 20% a year on the unpaid amount. Future rules may set a lower rate.
Airlines and airports with unpaid charges or penalties can be pursued through court as debtors to the Australian government.
Airlines and airports facing exceptional circumstances can ask the department's SecretaryThe senior official leading the responsible department. to waive a late-payment penaltyAn extra amount charged on overdue money..
Airlines and airports can challenge certain waiver decisions internally within 21 days. The review generally has 30 business days.
Airlines and airports may have to submit information showing how much they could owe. Future rules can carry penalties of up to 50 penalty units.
This Act is about the collection of levy imposed by the Aviation Consumer Protection Levy Act 2026. The regulations may prescribe when levy becomes due and payable and may provide for levy to be paid in instalments. Late payment penalty will be payable if levy remains unpaid after it becomes due for payment. Unpaid levy and late payment penalty may be recovered as debts due to the Commonwealth. The regulations may deal with a range of matters, including returns, remittals, refunds and civil penalties. 4 Definitions (1) In this Act: late payment penalty means a penalty payable under sectiAviation Consumer Protection Levy (Collection) introduced text
8 When levy due for payment The regulations may prescribe the times when levy is due and payable. 9 Levy may be paid in instalments The regulations may provide for an amount of levy to be paid in one or more instalments.Aviation Consumer Protection Levy (Collection) introduced text
10 Late payment penalty (1) If any levy payable by an entity remains unpaid after the time the levy becomes due for payment, the entity is liable to pay, by way of penalty, an amount calculated at the rate of: (a) 20% per annum; or (b) if a lower rate per annum is specified in the regulations—that lower rate per annum; on the amount unpaid, computed from that time. (2) The regulations may prescribe the time when late payment penalty is due and payable.Aviation Consumer Protection Levy (Collection) introduced text
13 Recovery of levy and late payment penalty (1) The following amounts may be recovered by the Commonwealth from an entity as debts due to the Commonwealth: (a) levy that is due and payable by the entity; (b) late payment penalty that is due and payable by the entity. (2) The Secretary is authorised, as agent of the Commonwealth, to bring proceedings in the name of the Commonwealth for the recovery of a debt due to the Commonwealth of a kind mentioned in subsection (1).Aviation Consumer Protection Levy (Collection) introduced text
12 Waiver of levy and late payment penalty (1) The Secretary may, on behalf of the Commonwealth, waive the payment of a whole or a part of one or more of the following amounts payable by an entity if the Secretary is satisfied that there are exceptional circumstances justifying the waiver: (b) late payment penalty. (2) The Secretary may do so on the Secretary’s own initiative or on written application by the entity. (3) Applications must be given: (a) in the form approved by the Secretary (if any); and (b) in the manner (if any) prescribed by the regulations.Aviation Consumer Protection Levy (Collection) introduced text
16 Internal review of certain decisions Review of decisions relating to waiver of levy and late payment penalty (1) A person or entity (the affected entity) whose interests are affected by a decision (the reviewable decision) made by a delegate of the Secretary under section 12 (waiver of levy and late payment penalty) may request the Secretary to reconsider the decision. Form and timing of request (2) The affected entity must make the request in the form approved by the Secretary (if any): (a) before the end of the period of 21 days beginning on the day on which the affected entity is noAviation Consumer Protection Levy (Collection) introduced text
14 Remittals and refunds The regulations may make provision for and in relation to: (a) the remittal of all or part of an amount of levy or late payment penalty; (b) the refund of all or part of an amount of levy or late payment penalty; (c) review of decisions to refuse to remit or refund an amount of levy or late payment penalty. The regulations may make provision for and in relation to an entity being required to provide returns to the Secretary in relation to the entity’s liability, or potential liability, to pay levy.Aviation Consumer Protection Levy (Collection) introduced text
Context
Australia's existing aviation consumer system left passengers dissatisfied with how airlines and airports handled their obligations, and the 2024 Aviation White Paper committed to an ombuds scheme and consumer charter. After consultations in 2024 and 2025, the government introduced a four-bill reform package, with Hon Catherine King MP introducing this Collection Bill to fund the new regulator's administration; the House passed it on 29 June 2026 and Senate consideration began the next day.
Aviation White Paper identifies dissatisfied consumers
The Aviation White Paper found dissatisfaction with how airlines and airports interpreted their consumer obligations and committed to an ombuds scheme and aviation consumer charter.
Aviation Consumer Protection Levy (Collection) explanatory memorandum ↗Government begins consultation on fairer skies
The government opened consultation on legislation for a new aviation consumer protection framework after the White Paper identified poor consumer outcomes.
Department of Infrastructure ↗Hon Catherine King MP introduces the collection bill
The bill was introduced in the House of Representatives as part of a four-bill package to collect levies that recover the Aviation Consumer Protection Authority's administration costs.
Minister's second reading speech ↗House passes the collection bill
The House agreed to the bill at third reading, completing its passage through the originating chamber.
Parliamentary timeline ↗Senate begins considering the collection bill
The bill was introduced and read a first time in the Senate, starting consideration in the second chamber.
Parliamentary timeline ↗Legislative route
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
Referred to Committee (01/04/2026): Senate Rural and Regional Affairs and Transport Legislation Committee; Committee report (19/06/2026)
Report tabled 19 Jun 2026
APH bill page notesThe bill reached this recorded parliamentary step.
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
Key criticism
Sam Birrell (National Party) argued the wider four-bill package created more paperwork than accountability and offered no direct compensation for delays, cancellations or damaged baggage. He also warned that new costs could hurt smaller regional operators and said a promised exemption for airlines carrying fewer than one million passengers was not written into the bills. Monique Ryan (Independent) argued passengers would still lack automatic compensation and Parliament had not received the proposed passenger-rights charter. She also said broad exemptions and limited coverage of booking agents and some connecting services could leave gaps.
Ryan said an independent complaints service with binding decisions and a dedicated regulator were genuine improvements. The government argued compulsory compensation could raise ticket prices without improving performance, and said airlines would instead be expected to cover reasonable costs such as accommodation, meals and transport.
Costly bureaucracy and regional burden
The levyAn annual charge imposed on covered businesses. could increase costs for regional operators and threaten already fragile services, without ensuring passengers receive direct compensation when flights are disrupted.
Further sources
Votes
No recorded votes have been found yet for this bill.
Parliamentary debate
Start here — lead voices
Catherine King supports the bill because it establishes a process for collecting levies from regulated aviation entities to recover the costs of administering the new consumer protection framework.
Read in Hansard ↗Birrell opposes the bill, arguing that it creates costly bureaucracy without direct passenger compensation and could impose damaging burdens on regional aviation operators.
Read in Hansard ↗McCormack says the coalition will allow the bill to pass but will seek amendments to protect regional aviation, provide direct compensation and refunds, preserve unused flight credits, and hold Airservices Australia accountable.
Read in Hansard ↗Monique Ryan says the aviation consumer protection package improves the status quo but is inadequate without stronger passenger rights.
Read in Hansard ↗All speeches by bloc
8 speakers · 6 support · 2 unclear
“I rise today to speak in support of the Aviation Consumer Protection Bill 2026. Aviation matters in Australia in a way that is different to many other countries. We are a large island nation with vast distances between our cities, our regions and the rest of the world. For many Australians, flying is not a luxury. It is how people get to work, stay connected with family, get home for study, travel for medical care, attend funerals and reach holidays they have saved for, month after month.”Read the full speech in Hansard ↗
“I rise in support of the Aviation Consumer Protection Bill 2026 and the other bills itemised. These bills together represent the most significant reform to aviation consumer rights here in this country in more than a decade. For too long, Australian travellers have felt powerless when flights are being delayed, cancelled or disrupted. For too long, people have been left stranded at airports, unable to get clear information, unable to access assistance and unable to resolve complaints in a fair and timely way. For too long, this system has effectively relied on airlines policing themselves. But Australians deserve better, and the Albanese Labor government is delivering a modern aviation system that puts passengers back in the centre of this conversation—a system that is fairer, a system that is much more transparent and a system that improves accountability across the aviation industry and, more importantly, a system that recognises that air travel is not a luxury for many Australians. It's an essential part of everyday life.”Read the full speech in Hansard ↗
“The Aviation Consumer Protection Levy (Collection) Bill provides for the collection of levies to cost recover administration costs associated with the Aviation Consumer Protection Bill.”Read the full speech in Hansard ↗
“The package also establishes the Aircraft Noise Ombudsperson as a function within the department, independent of Airservices Australia and the Department of Defence. Aircraft noise is a serious concern for affected communities. For people living under flight paths, aircraft noise can affect sleep, amenity and wellbeing. Communities need confidence that complaints are reviewed independently. The levy bills support the framework by allowing the imposition and collection of levies to recover the administrative costs associated with the Aviation Consumer Protection Authority. It is appropriate that the cost of this framework be borne by the industry that has generated the need for regulation provided those costs are kept reasonable and proportionate.”Read the full speech in Hansard ↗
“I look forward to going back to my community and telling them that the next time they travel after saving for that well-earned holiday or to care for a sick parent a disruption or a cancellation will mean compensation, not frustration. That's one less thing they'll need to worry about when weighing up their budget. This legislation will mean fewer Marias sitting at an airport gate frustrated, fewer families absorbing costs that should have been the airline's and fewer residents feeling like their concerns about aircraft noise have vanished into a bureaucratic void. It will mean Australia finally has an aviation consumer protection framework that reflects our modern, fair-minded country—one that stands with every passenger and brings real accountability to a crucial industry. I'm proud to be part of a government delivering it, because my community relies on the success of our aviation industry, and that industry relies on my community and on the many others who pass through it every day. I commend the bills to the House.”Read the full speech in Hansard ↗
“Third, the bills establish the Aviation Consumer Protection Authority. The authority will be a dedicated regulator within the department to enforce the charter and to take on the systemic problems in the sector, not just one complaint at a time. Where the ombudsperson helps the individual traveller, the regulator looks at the bigger patterns to make sure the industry is held to account if necessary. This framework is about meaningful protection for passengers while keeping aviation competitive, affordable and sustainable, including the regional routes that so many of our regional and remote communities depend on—in particular, my state of Queensland. There is a balance, and these bills achieve that balance.”Read the full speech in Hansard ↗
“The collection bill outlines the process for the collection of these charges, ensuring that the levies imposed on regulated entities are effectively managed and distributed. It establishes the procedures for collecting and administering the cost recovery charges, in line with the framework set by the levy bill.”Read the full speech in Hansard ↗
“The original question was that this bill be now read a second time. To this the honourable member for Riverina moved as an amendment that all words after 'That' be omitted with a view to substituting other words. The honourable member for Kooyong has now moved as an amendment to that amendment that all words after 'notes that' be omitted with a view to substituting other words. The question now is that the amendment moved by the honourable member for Kooyong to the amendment moved by the honourable member for Riverina be agreed to.”Read the full speech in Hansard ↗
2 speakers · 1 support · 1 oppose
“But supporting stronger protections is not the same as supporting this piece of legislation, because these bills deliver more bureaucracy than accountability, more costs than compensation and more processes than outcomes. Australians do not want another complaints body to write to after their holiday is already ruined; they want fewer cancellations, fewer delays and better communication. In the instances where we can't get the airlines to perform better in relation to those things, they need real compensation when things go wrong. But instead Labor has delivered a framework built around complaints and paperwork after the damage is already done, and the damage has been considerable.”Read the full speech in Hansard ↗
“The coalition strongly supports the objective of improving consumer protections for travellers. However, in our view, this legislation falls far short of community expectations. It creates new bureaucracies but fails to address many of the concerns passengers have had. It does not provide direct compensation. It leaves too much to regulations. It imposes unquantified costs on regional aviation, and it does not ensure consumers retain access to their own money through unused flight credits. The coalition will propose amendments in the Senate to protect regional aviation, enhance consumer protection, strengthen accountability and deliver fairer outcomes for Australian travellers.”Read the full speech in Hansard ↗
2 speakers · 1 support · 1 mixed
“Incremental improvement is not the standard we should be setting. This is our only opportunity to get this right, and the government is squibbing it. The standard we set should be a gold standard—the same protections available to passengers on the same routes operated by carriers flying in or out of the United Kingdom or the European Union. What the Australian passenger deserves is automatic, fixed compensation for significant delays and cancellations caused by factors within the airlines' control, a passenger rights charter with mandatory minimum content that is legislated not delegated, genuine coverage of charter operations and third-party intermediaries, and robust exemption criteria that cannot be gamed by carriers seeking to avoid their obligations.”Read the full speech in Hansard ↗
“A new regulator, the Aviation Consumer Protection Authority, will enforce standards and take action against systemic or repeated failures, with civil penalties for serious breaches. These penalties could total several millions of dollars. A separate body, the Aviation Consumer Ombudsperson, will run a dispute resolution scheme that passengers can use to resolve individual complaints, and every regulated airline and airport must join it. The initiatives included in the bills will be paid for by industry, not by taxpayers, through a levy on regulated entities set out in the levy bill and the collection bill.”Read the full speech in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Senate Rural and Regional Affairs and Transport Legislation Committee
Report tabled 19 Jun 2026
Referred to Committee (1 Apr 2026): Senate Rural and Regional Affairs and Transport Legislation Committee; Committee report (19 June 2026)
APH bill page notes
