as titled - the key precipe is that it's up to CASA to regulate. Too this end all journalists should refer to CASA chief B.Byron's statments and war cries at the presser held at the opening of last year's safer skies talkfest in Canberra.
Sadly despite the CASA boss drawing the line in the sand, CASA's performance in this respect by the granting some of the illogical dispensations given to some LCC's (or new world carriers as some like to called), - including 'defacto' ETOPs, suggests that (still) nobody is listening to the boss.
Baseline for me is that if anyone wants to fly in Oz skies they must be made to comply with a common set of standards and the notion of self regulation/compliance/reporting be set aside. (esp. given the likes of Lion's 'impressive' safety achievements).
If they fly on a FAOC then they should be made to upgrade to Aust standards rather than us issuing dispensations.
Open skies and deregulation should not be a predecessor to downgraded safety.