Qantas chief executive Alan Joyce says travel for Australians could be made more affordable with two changes to aviation policy.
Mr Joyce told a parliamentary committee on Monday he understood the rising cost of living was a serious problem.
"Many people are doing it tough," he said.
He called for a sustainable aviation fuel (SAF) industry which would reduce emissions and be a huge opportunity for jobs and economic growth.
"It would reduce the impact of big swings in oil prices and and would help bridge a significant gap in Australia's energy independence," he said.
Sustainable aviation fuel was the "most significant tool airlines have to decarbonise".
The outgoing airline boss said increased airport pricing would prove a "major cost pressure" for the Qantas Group.
"The regulatory regime that governs the relationship between airports and airlines isn't working," he told the hearing.
"Dedicated pricing principles drafted to solve this problem have never been formally enshrined, and are typically ignored by airports."
As the government prepares to release its aviation white paper in 2024, Mr Joyce said policies were needed help with efficient resolution of commercial disputes between airlines and airports.
"Australia's monopoly airports are some of the most profitable in the world and ultimately, it's the passenger who pays," he said.
Qantas posted a record underlying profit of $2.47 billion for the past financial year, after it recorded a loss of almost $2 billion the year before.
Competition in the airline industry is expected to feature during questioning, after a request from Qatar Airways to the federal government for additional flights to Australia was rejected.
Despite both airlines being members of the Oneworld alliance, Qantas opposed the plan for the extra Qatar flights.
An inquiry last week was told Qantas was deliberately cancelling flights between cities to stop competition with other airlines.
© AAP 2023