❓ A parliamentary question seeks clarification on the methodology used to estimate the economic impact of a Tourism WA and Jetstar agreement, specifically regarding visitor numbers and expenditure. The Minister provides a breakdown of the calculation method.
AnsweredQoN 688Legislative Council
QuestionView source ↗
TOURISM WESTERN AUSTRALIA — JETSTAR AGREEMENT
I refer to the minister’s speech to the Tourism Council Western Australia industry breakfast on 1 September 2010, at which she stated that the new agreement between Tourism WA and Jetstar will deliver an additional 40 000 new visitors to the state a year, spending an estimated $39 million over the following three years. (1) How was this figure derived, and by whom? (2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER
I refer to the minister’s speech to the Tourism Council Western Australia industry breakfast on 1 September 2010, at which she stated that the new agreement between Tourism WA and Jetstar will deliver an additional 40 000 new visitors to the state a year, spending an estimated $39 million over the following three years. (1) How was this figure derived, and by whom? (2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER
AnswerView source ↗
I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(1) How was this figure derived, and by whom? (2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(1) How was this figure derived, and by whom? (2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(2) Will the minister table the economic modelling used to substantiate this claim; and, if not, why not? Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
Hon DONNA FARAGHER replied: I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
I thank the member for some notice of this question. (1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(1) The figures were calculated by Tourism Western Australia using data provided by Jetstar and Tourism Research Australia’s national visitor survey. (2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
(2) The methodology used to calculate the figures is as follows. The number of additional visitors was determined by considering the total number of new seats that will be available as a result of the increased number of services, and assuming an average load factor of 80 per cent—the aviation industry standard. The final figure of 40 000 new visitors to the state each year was determined by conservatively estimating that 25 per cent of seats made available would be used by inbound visitors to Perth. The estimated expenditure of these new visitors is based on the average length of stay for interstate visitors times the average daily spend of interstate visitors, to arrive at a conservative economic injection to the state economy of $39 million a year over the following three years.
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