Regional New Zealand could be in for relief, as Air Chathams investigates further expanding its network. The privately-owned airline has 15 aircraft, and has progressively taken over axed Air New Zealand routes. That includes Auckland to Whanganui, Whakatāne and Kāpiti Coast. The flights are on top of its longstanding services to the Chatham Islands from Auckland, Wellington and Christchurch. Hamilton to Nelson was one of the new routes of interest, alongside a Masterton to Auckland service. Air Chathams CEO Craig Emeny said the airline wouldn't consider picking up the regional routes Jetstar will leave later this year because Air New Zealand was too tough a competitor. However, Emeny said the airline was in the very early stages of considering new regional flying. Emeny added it was early days, and any possible routes wouldn't launch until 2020. The Masterton to Auckland leg was last serviced by Air New Zealand Link, using a Beech 1900D, but it was axed in 2014 after the national carrier decommissioned its smaller Beech fleet. Kiwi Regional Airlines briefly flew between Hamilton and Nelson, before folding after less than a year. Its sole Saab 340 was sold to Air Chathams. Emeny said the potential new routes would likely be served by one of its three Saab aircraft, which has 36 seats. There has long been chatter Virgin Australia or even its budget offshoot Tigerair could enter the New Zealand domestic market. Virgin, in particular, already operates ATR turbo-prop aircraft, the same type used by Air New Zealand. But times are tough for Virgin. The Australian carrier is planning to cut 750 jobs and reduce costs by $75 million a year. Virgin also owns Tigerair, which is currently running at a loss too. In that climate, it's highly unlikely Virgin or Tiger would look to start domestic operations in New Zealand - as it would require a significant upfront investment and the likelihood of intense competition from Air New Zealand.
I really hope neither of those scenarios come about - they're just a rinse and repeat recipe.
ReplyDeleteForget Masterton however there are a number of Hamiltonians who drive to Auckland to fly to Nelson so that may just work. We need to remember HLZ is the fourth biggest city in NZ .
ReplyDeleteI think Masterton will do okay... It was the highest performing Eagle route... There is rapid growth of people living in the Wairarapa. Many of these work in Wellington so for business or leisure they either drive to Wellington or Palmerston pay the parking and fly from there... A Saab will be able to offer better fares than a Beech 1900... Bring it on Air Chats... Not sure what the market would be between Hamilton and Nelson. Might the Saab be too big??? It was for Kiwi Regional but it all depends on timing and what market would be tapped
ReplyDeleteSteve - The Wairarapa region which currently 45,462 and is growing, hence the government allocating $100 million to upgrade the rail line to Wellington for increase commuter rail frequencies.
DeleteBased on the current population, there is sufficient demand for 1 to 2 daily return week day flights and 1 return daily week end flights using Air Chathams Metroliners and Saab 340's between AKL/MRO/AKL and Soundsair using PC12's for MRO/NEL/MRO services.
Hood aerodrome would have to be upgraded for Saab 340, C130J and possible ATR72 operations paid for by the South Wairarapa District, Carterton District and Masterton District councils and/or cash from the PGF.
When Origin air finally get off the ground again they could look at serving a Nelson to Hamilton route with their Jetstream plus they already have a base in NSN. While Air Chathams has neither port yet served.
ReplyDeleteAlso worth noting. It is actually councils courting operators to consider setting up services, and not the operators going looking.
ReplyDeleteRegional councils are seeing the benefits of a reliable air service, that is well marketed and community focused. They are realising that smaller operators like Chats, Soundsair etc are better served on these routes. They commit to them, and promote and market them. Where as Air NZ is better served on the larger routes, and naturally prefers to focus their resources on their main money makers.
So it is the councils leading the charge on these. They desire reliable and dedicated services.
Don't underestimate the growing air shaming. Over time this will put pressure on people to think twice before flying, particularly around the leasure market.
ReplyDeleteIn another note, it would be untidy for chats to operate HLZ-NSN without linking one end to an existing serviced port. Ie they would need to ferry to HLZ from AKL
But if there was an inter airline agreement between chats and airnz they would be linked...
Delete