The Australian Competition and Consumer Commission has released its annual monitoring report on Adelaide, Brisbane, Melbourne, Perth and Sydney airports for 2009/10.
ACCC chairman Graeme Samuel said airlines had been unsatisfied with the levels of service at Sydney Airport over several years, particularly at the international terminal despite its recent upgrade.
"While passengers appear to be relatively satisfied with the outcome, the airlines have not reported any significant improvement in the service they receive," Mr Samuel said in a statement on Monday.
"Indeed, there appears to have been no improvements to some services that the airlines rely on, such as the number of check-in desks.
"The situation at Sydney Airport is in contrast to the other monitored airports, which appear to have been more responsive to the airlines' needs."
Mr Samuel said Sydney Airport benefited from a lack of competition.
"The airport's monopoly position, the airlines' ongoing dissatisfaction with the service they receive, as well as increasing prices and profits over time, all point to Sydney Airport earning monopoly profits from the services it provides to airlines," he said.
Macquarie Airports Ltd owns the majority of Sydney Airport.
Car parking was of concern at Melbourne Airport in the reduced competitiveness of off-airport parking and private bus operators against the existing car parking services, Mr Samuel said.
"By reducing the ability of alternatives to compete, Melbourne Airport can increase demand for its own car parking services, charge higher prices to consumers and, therefore, earn monopoly profits," he said.
"The issues raised by the ACCC in this report highlight the importance of the current review by the Productivity Commission into the economic regulation of airport services."
AAP el/sb/
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