While removing the levy is aimed at boosting the tourism industry, during its existence the levy has added extra costs for explorer producers concurrently battling a rising Australian dollar, the removal of which the WA Chamber of Minerals and Energy welcomed.

CME Policy director David Parker said it was welcome news considering around 75% of the State's air passengers were travelling on resources-related business.

"It is a small but user charged levy," said Parker.

"The reduction of the $10 levy per person per flight is small but welcome news for industry, given the number and volume of business travellers using the intrastate rapid passenger transit network," he said.

Tourism Minister Joe Hockey called on airlines to deliver cost savings to consumers and air travellers as soon as possible.