Australia's Tropical Island Now Costs Twice as Much to Run

Tourists paid a fuel levy for their recent reef trip.

In short:

Tourism operators on the Great Barrier Reef need COVID-era support due to high fuel costs.

Some operators are introducing fuel surcharges and cutting trips to balance their finances.

The Great Barrier Reef brings about $9 billion into Australia's economy each year and employs 77,000 people.

Tourism operators are introducing fuel surcharges and cutting services due to high petrol costs.

Tropical island resorts are being pushed to the limit due to high diesel costs.

The Association of Marine Park Tourism Operators CEO said operators are scaling back trips and cutting staff hours.

There are reductions of 20 to 30 per cent in services.

Operators need minimum crew levels for safety, but hours are being cut, leading to less income and job uncertainty.

The CEO of the Australian Marine Park tourism Organisation wants passenger fees waived for six months.

The CEO said they have written to the federal and Queensland governments to waive per-passenger charges.

There has been a lot of discussion, but not much action.

The Great Barrier Reef is a major tourist draw, bringing in $9 billion and employing 77,000 people.

Passengers are helping to cover rising costs by paying surcharges.

Conditions are tougher than during the pandemic.

During COVID, there was certainty and support.

Now, uncertainty around fuel pricing and availability is alarming.

Tropical islands are under pressure.

On Green Island, rising costs are affecting the entire operation.

The Coral Cay is a popular reef destination that has been welcoming tourists for over a century.

While it has invested in environmental management, the operation is still heavily exposed to fuel costs.

Green Island is one of the most visited reef destinations.

Solar power is used where possible, but most energy still comes from diesel generators.

Quicksilver Group CEO Tony Baker said the company uses 300,000 litres of fuel a month.

From late February to the Easter school holidays, fuel costs went up 168 per cent.

Quicksilver CEO Tony Baker says fuel costs are hitting reef operators hard.

Fuel surcharges are being passed on to visitors, but do not cover total operating costs.

It's not something they want to do, but sometimes it's necessary.

The bigger issue is unpredictability.

Green Island Resort recycles human waste to cut down on its carbon footprint.

Prices are changing week to week, making it hard when fuel is a big cost.

If they don't get minimum numbers, they won't operate.

If they don't get the numbers, they won't fly.

Rising fuel costs are forcing the skydiving industry to rethink how it flies and how often.

Skydive Australia's Regional Operations Manager said about 20 staff are needed for 1,000 to 2,000 jumps a month.

Skydive Australia's regional operations manager says the industry is feeling the pressure.

The cost of jumps has held steady for now, but the focus is on keeping aircraft full and matching schedules to demand.

They're looking at maximising loads and consolidating operating days.

See what's happening with petrol and diesel prices near you.

If they don't get the numbers to make a flight viable, they won't fly it.

It's essential to maintain skydiving experiences in regional tourism hubs like Cairns and Airlie Beach.

These are iconic destinations, and people build their holidays around them.

If they lose accessibility, it impacts the whole region.

There are calls for help.

Regional tourism businesses reported a subdued Easter holiday period due to rising fuel prices.

Australian Regional Tourism CEO Lauren Douglass said the industry is in crisis, and bookings from May onwards are almost non-existent.

Demand is weakening in regions more than two hours from capital cities, with bookings down by up to 40 per cent.

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