An interim Productivity Commission report released on November 11, 2026, examined regional airfares and found short regional flights were on average 173 per cent more expensive per kilometre than major city routes. Commissioner Catherine de Fontenay said many regional communities were frustrated by high costs and that evidence on what drives prices had previously been lacking.

The report, commissioned by Treasurer Jim Chalmers, drew more than 100 submissions. One cited a family of four paying $3,200 for a one-hour Kalgoorlie-to-Perth flight. Submissions from Yalu Aboriginal Corporation and Regional Development Australia Mid North Coast described effects on family connection and court attendance. The report found more than 90 per cent of regional and remote passengers flew with Qantas Group or Virgin Australia in 2025, and 72 per cent of routes had a single carrier. Commissioner Martin Stokie said operators often chose between higher fares or losses.

The commission recommended subsidies for essential routes and help with upfront medical travel costs, with assistance focused on communities rather than particular airlines. It is seeking further submissions and plans a final report in April 2027.