Applying the Travel Policy

Applying value for money

Air Travel

The cheapest fare refers to the lowest‑priced fare available within the applicable time window for the required itinerary. The cheapest fare may not always represent the value for money option when assessed against broader business requirements.

The Best Value Fare is the lowest available fare at the time of booking on a regular scheduled (non‑charter) service that meets operational and business requirements, while also maximising overall value for money.

Officials must select the Best Value Fare for official travel.

To maximise value for money, officials are encouraged to consider the total cost of the travel, including:

  • fare and booking conditions, flexibility, including cancellation and change fees particularly where travel plans may change or are subject to operational uncertainty
  • additional costs, including accommodation, meals, ground transport, baggage and incidentals, and
  • where appropriate, the cost of lost productivity associated with travel time. 

How to apply this

  • start with the cheapest available fare
  • select that fare where it meets business needs
  • select a higher fare only where there is a clear operational requirement or business need, and
  • record the reason when the cheapest fare is not selected.

Accommodation

To maximise value for money, officials are encouraged to consider the total cost of travel, including:

  • the total cost of stay, including room rate and inclusions such as breakfast, where this may reduce the need for meal allowances and overall costs
  • location and proximity to the accommodation in relation to meeting or official business venues
  • travel time and transport costs
  • booking conditions and flexibility, including cancellation, change and no-show terms particularly where travel plans may change or are subject to operational uncertainty
  • safety and security considerations, including the suitability of the accommodation for official travel.

Officials must not use private or short-term rental accommodation (including Airbnb and similar services) unless:

  • the delegate is satisfied exceptional circumstances exist
  • no suitable commercial accommodation is available, and
  • risks have been assessed and managed.

To support value for money in accommodation booking decisions, officials must consider the accommodation rate thresholds below, when selecting and approving accommodation. These thresholds are designed as an exception-based framework and are not intended to be spending targets.

Domestic Accommodation Thresholds
Location
Threshold (AUD per night)

Sydney

$350

Melbourne

$300

Brisbane

$360

Adelaide

$280

Canberra

$270

Perth

$340

Darwin

$300

Hobart

$270

Accommodation bookings that exceed the thresholds will be subject to the reporting requirements set out in the Australian Government Travel Policy.

Vehicle Rental

When considering vehicle rental, officials are encouraged to assess value for money across the whole trip. This includes:

  • total cost compared to other transport options
  • additional costs such as fuel, tolls and parking, and
  • the duration and purpose of travel, and whether a rental vehicle is necessary for the entire trip.

Vehicle rental decisions should be made on the basis of efficiency, cost-effectiveness and operational need, consistent with internal entity policies.


Did you find this content useful?