History will show that this contract has only ever been with one operator for a maximum of three tenders. The loss of this contract should not be really surprising if you look at it's history.
I think people are being swept up in the belief that the RFDS are the only provider of aeromedical expertise Australia wide. Unfortunately this contract operates under the Victorian Air Ambulance requirements not the RFDS. Experience levels, aircraft, maintenance etc are clearly laid out by the Ambulance service, this will NOT compromise the level of service to the residents of Victoria. Maybe the RFDS felt that they should stipulate the requirements of this contract?
What about the previous providers to this contract? The last provider maintained a very good reputation in standards and maintenance. All of their pilots were recruited with various levels of experience and backgrounds.