26 January 2013

Sunair's Newest Airliner

New on the line for Sunair is Aztec ZK-ECM...

Sunair Aztec Number 10, ZK-ECM at Tauranga on 25 January 2013...



 

Tongan Aviation Woes

There is a saying, 'don't look a gift horse in the eye.' According to Wikipedia, the fount of all knowledge, inspecting the teeth of a horse given as a gift was considered ungrateful. It would mean that recipient is trying to see if the horse is old (undesirable) or young (more desirable). It seems the Tongan Government might well have foolishly followed the axiom according to a report from Tonga. In this case one wonders whether an established well-fucntioning airline with old aircraft is worth more than a untried new airline with a new untried aircraft...
The pull-out of Chathams-Pacific airline and the government plans to lease out two gifted aircraft has got businesses nervous over the uncertainty of ongoing domestic air services and their economic reliability. At a Tonga Chamber of Commerce & Industry members event yesterday, January 23, the local business community expressed their frustration at Chathams-Pacific's decision to end its service in Tonga. Questions were raised over the reliability of a replacement locally-run airline. The meeting came eight days after Chathams-Pacific's General Manager Noel Gillespie announced the airline would be ending its service in Tonga, saying they had lost “business confidence in Tonga” after discovering Government's intentions to facilitate competition by leasing aircrafts to an alternative air service.
Short life of airlines
Former Minister of Transport, Paul Karalus, a veteran of the Tonga's airline industry, presented a view on Tonga's 40 years of domestic airline services, and said that Tonga has had eleven airlines, with an average life of 3.6 years for each airline. "This is not good on an international scale." His paper outlined the issues to be taken into account when determing the minimum regulatory and economic requirements, "for adequate, reliable and safe domestic air services for the Kingdom." He criticized a Chinese-built aircraft project for Tonga. "There has yet to be full and total consultation of the public despite the government apparently embarking on a major exercise in the acquisition and operation of aircraft from the People's Republic of China. While heralded as a "grant" the public needs to be aware of the huge call for capital that will be required to establish a new airline, and, once operational, of sustaining its viability," he said. He explained how it was important to match the aircraft type to the market for it to be economically sustainable and profitable. "Pricing of air services is very much dependent on an optimum match of aircraft to routes, the traffic on those routes and the economic utilization of the aircraft chosen," he said. "Even a gifted aircraft has numerous costs involved, not least of which is the replacement cost at the end of its useful life."
New aircraft
Paul believed the new aircraft the MA60 and Harbin Y12 would be a commercial failure in Tonga because they would not meet the market needs, and the highly valued MA60 would require a lease rate that the market could not support. He stated that the MA60 model, “being a 60 seater aircraft means that it would operate less than 1000 hours per year; an unsustainable level for a new aircraft, both economically and financially. Regional services could increase this, but the cost of certification would be beyond Tonga’s financial capacity.” A member pointed out that the MA60 was not certified in the US, UK, New Zealand or Australia.
Uneconomical
Paul added that the the 17-seater Harbin Y12 would be “impossible” to run commercially in Tonga because it would not be able to accommodate fuel costs with lower pay loads. "Fuel costs , the minimum fuel loads required for the sector and, now, the considerably higher body weights of passengers in Tonga, all combine to make such aircrafts uneconomical as they cannot carry an economic revenue payload over the sector.” Paul said the government, "has yet to divulge its scheme to reenter the domestic airline industry. The government has obviously been in negotiation with the People's Republic of China to provide assistance in supporting the domestic airline industry." He believed that a government task force had been set up "to further the intention of government to accept a grant from the PRC of up to US$25 million equivalent for the supply for aircraft and initial operational support." "The Deputy Prime Minister told the House on 18 June 2012 that the task force included members from Tonga Airports Ltd., Air Terminal Services, Palu Aviation and others to work on the details of the project before it was brought back to the House for final approval." But Paul believed that it had not been brought back to the House since then. He said the project was said to be one where government receives aircraft as gifts, "and then passes this on to the private sector for it to be operated." Paul said this opened a number of questions that need to be answered. "The question we now have now in Tonga is really this: can the market sustain more than one airline and can the economy of that one airline be improved upon to make air services more affordable and safe? "To fully answer this question requires a lot more thought than the simplistic idea that 'competition results in cheaper services' when it may well be that the result will be a spasmodic boom for the travelling public followed by a bust for the airlines. "To think that two airlines can provide competition is probably not going to happen. The real competition for an airline here is the ferry," said Paul. In conclusion he said, "consideration needs to be given for where best for Tonga and Tongans to direct local scarce capital."
Concerns
Concerns were expressed by Chamber members over safety issues and ongoing uncertainties. One of the largest tourism operators in Vava'u, Shane Walker, said that Chathams Pacific was the first airline to pull out rather than go broke and he questioned their reasons. He said that in the eight days since the Chathams Pacific announcement it had caused over NZD$80,000 in yacht charter and resort cancellations. "This is a Chathams decision and what follows is a period of uncertainty." He said he was gravely concerned that the uncertainties could lead to international tourism operators simply pulling out of Tonga and relocating their investments elsewhere.
Real Tonga
Meanwhile, a newly formed local airline "Real Tonga" has announced today, January 24, that it will commence air service on March 4 after securing a lease of two Y-12 aircrafts from Vanuatu.

25 January 2013

Claris Fire Boon for Okiwi

The recent fire that has caused havoc on Great Barrier Island and the closure of Claris airport has been a boon for Okiwi airfield... Kevin Burke, the editor of the Barrier Bulletin sent me this photo of five BN Islander's at Okiwi... Both Great Barrier Airlines' Islanders and three from Fly My Sky. Only Fly My Sky's ZK-PIY was missing! In the background is Cessna 182 ZK-NPC.
 

Thankfully Okiwi was usable or the local tourist industry would have suffered and it would have been difficult to get emergency personnel to the island quickly... another reason to seal Okiwi???

21 January 2013

25 Years Ago - January 1988 - Car Racing at Timaru

The V8s racing at Timaru at the end of January 1988 brought in a number of visiting aircraft...

A couple of F Model Piper PA23-250 Aztecs... Above, from memory Chris Amon's ZK-PGA and below Cookson Air's ZK-EVP. Both taken at Timaru on 30 January 1988  

Also in TImaru were a couple of Bell 206 Jetrangers, Kaipara Excavators ZK-HTA taken on 30 January 1988 and below down from Christchurch on 31 January 1988 was ZK-HPM


Grrrrr - the film didn't wind on properly... a cropped RNZAF Cessna 421 Golden Eagle, NZ 7942  at Timaru on 31 January 1988.
A couple of Cessnas... C177 Cardinal ZK-DJK on 31 January 1988 and ZK-EKL Cessna R182 Skylane RG II on 30 Janaury 1988.
 

Piper PA28-235 Cherokee at Timaru on 30 January 1988.

20 January 2013

25 Years Ago - January 1988 - Timaru and Ashburton

The most exotic visitor to Timaru during January 1988 was Cessna Citation  VH-WNP taken on 12 January 1988.
Above, a classic High Country flyer, Cessna 206 ZK-DWX taken on 12 January 1988. Below, new to the region was Studholme Junction-based Cessna 185 ZK-FNX also taken on 12 January 1988 
 

Cessna 172D ZK-CCJ at Ashburton on 11 January 1988
Currie Wot ZK-CYB at Timaru on 17 January 1988
A couple more Cessnas... above Cessna 180 ZK-DPJ and below, down from Ashburton, Four Seasons Flightseeing Cessna R172K  Hawk ZK-EWA. Both taken at Timaru on 17  January 1988.

 

Engineless after a repaint - South Canterbury Aerial Co-ops Fletcher ZK-DIL at Timaru on  22 January 1988

17 January 2013

Chathams Pacific to Close



Chathams withdrawing from Tonga Domestic Air Services due to uncertain future resulting from Government’s policy of introducing a 2nd Airline

Chathams Pacific will discontinue its scheduled Air Services on 03 March 2013. Late 2007 the Tongan Government invited me to set up an airline in Tonga at very short notice stating that there were concerns regarding financial failure of current Airline, and its inability to meet all travel demands and provide services to Eua and the Niua’s. Over the last four years I have established and developed an air service that is reliable and sustainable. This has given the inbound tourist operators confidence to promote Tonga as a destination, and Tongan people have been provided with a safe and affordable airline with the lowest domestic seat cost per kilometre in the region. I’ve invested heavily in Tonga to develop Chathams Pacific, funding it through the assets of my New Zealand operation to achieve the standard of domestic airline Tonga has today. My commitment included purchasing two additional aircraft suitable to service the sectors between TBU and EUA and the Niua’s. I provided these services as a social responsibility and the revenue from these sectors cover only the operating cost of the Aircraft and have not contributed at all to the infrastructure (indirect) costs. I consider I have done all that has been asked of me and have achieved a good standard considering the relative isolation of Tonga and the very high costs of fuel and qualified operational expertise.

The CEO has cited the following reasons for this decision
Early in 2012 the Tongan Government announced that the Chinese Government are planning to provide Tonga with Aircraft, Flight Training facilities and an Engineering facility with a full support package. Press releases advised the government would use this support to sponsor an airline in competition to Chathams Pacific. This naturally concerned me as the air travel market in Tonga simply is not large enough to support two Airlines and the minister involved (who is very aware of this) did not include or consider my airline in anyway. On enquiring, the new venture was confirmed directly to me by Government Ministers. I was advised just before Christmas by the same Minister that Aircrew and Engineers are going to China to commence training Mid February 2013 and the Aircraft are expected to be operating in Tonga by Mid June 2013. I have to accept that this is a firm start date, and in light of that I have had to re-evaluate my Airlines future in Tonga. The study I have carried out clearly shows that I am not able to maintain financially viability in the Tonga market with the introduction of another airline operating a 50 seat (MA-60) and a 17 seat (Y12) aircraft in competition to me. The five months from February to June is the very lowest season with less than half the peak season traffic. My Airline suffers significant loses during the low season’s which we normally recoup in the high season. The year as a whole averages out with a very small return. To date I still have a loss in Tonga after nearly 5 years of operations resulting from the start-up cost and the earlier competition. With a new Airline commencing as we enter the high season I will not be able to recoup the low season’s losses and will actually incur further losses competing with the new Airline. I simply cannot justify the resources required to sustain these sorts of losses, and the situation would jeopardise both Chathams Pacific and my New Zealand operation (Air Chathams). The Chatham Islands are dependent on my airline to support its travel and fishing industry and appreciate the service I’ve provided for nearly three decades. However, the Government have made it clear they wish to have another Airline, and we can see we are a barrier to that getting underway. That, together with the current employment difficulties the uncertainty has created for the Airline, means the most sensible decision for Chathams Pacific is to withdraw and clear the way for the new Airline. Two Airlines simply will not financially survive in the Tonga Market. For businesses to invest, grow and assist the economy there needs to be certainty and stability. Unfortunately, the absence of these factors has hugely impacted on Chathams Pacific. I have now lost business confidence in Tonga due to the Governments attitude towards my airline and I won’t continue providing the domestic air services. It is a very sad decision for Marion and I to make because we care very much about our staff who are mainly Tongans and work loyally for the Airline and the Tongan people. We enjoy working and living in Tonga, and other than the imposed difficulties, it has been a rewarding and enjoyable experience. I have advised the Government that I am happy to assist them in the interim by leasing Aircraft and services until the Chinese Aircraft arrive and the new airline is established if they wish. My Reservation’s System, Engineering. Administration expertise and equipment would all be available if required, and this would allow a smoother transition to be put in place. However, clearly be a Government decision. I understand that I am the 11th Airline to operate in Tonga. Chathams Pacific is financially secure and sustainable airline and I would continue to operate the domestic air service in Tonga in a normal operating environment. It is the government’s decision to sponsor competition with donated aircraft from China and that will make Chathams Pacific untenable in the future. I'm proud of what we've achieved here and I don't want to see it damaged resulting in uncertainty in the tourism and domestic market. The Government may have some other interim solution, but whatever occurs I would be disappointed to see all the good work we've done in the domestic market harmed.

Chathams Pacific Media Release: 16 January 2013

Well done Craig and Marion... you've done a great job with Chathams Pacific... The Tongan Government's involvement in airlines hasn't been pretty. In the end it will be Tonga who loses if they get it wrong ago. I know who I would bet on...

So the big question for down here, are we going to see the Chathams Pacific fleet working NZ skies???

Douglas DC-3 A3-AWP at Fua'amotu on 7 January 2011. 
Beech Excalibur Queen Air A3-CIA at Fua'amotu on 7 January 2011.
Fairchild Metroliner ZK-CIC arrives back at Fua'amotu on 6 January 2011. 
Working in NZ, Chathams Pacific ZK-CIF lands at Auckland on  31 March 2012
BN Islander A3-LYP prepares for a flight to Eua at Fua'amotu on 7 January 2011.



Will Mount Cook be on Air NZ's flight path next year

 
The Hermitage Hotel's general manager has criticised the handling of the flights to Mt Cook, saying tour operators did not have enough lead time. Air New Zealand subsidiary Mount Cook Airline relaunched the thrice-weekly service to Mt Cook on December 23. The trial flights will end on January 27.  It is the first time scheduled flights have gone to Mt Cook since 2002, but Hermitage Hotel general manager Nigel Harper said insufficient time had been allowed to make them successful. "It needed to run for six months, not six weeks. Tour operators needed more time to plan, and it needed to be signalled two years ago, rather than a year ago," he said.  The service involves a 68-seat ATR aircraft, which has flown from Christchurch to Mt Cook airfield. The aircraft then carries on to Queenstown, with a return service departing mid-afternoon. "They didn't do it right. It was a nice idea, but not well planned, and a bit of a missed opportunity," Mr Harper said. The Hermitage had spent more than $50,000 to get the airport back to the required accreditation, after a long time off-line. It has also run a bus service to the hotel.  Christchurch and Canterbury Tourism chief executive Tim Hunter said he would talk to Air New Zealand about the service, but in a "perfect world", it would have been better for it to have run daily, rather than thrice-weekly. An Air New Zealand spokeswoman could not provide passenger numbers.  "We have had some great customer feedback about the Mt Cook route, but so far demand has not been as strong as we would have hoped," she said.  She acknowledged Mt Cook had been hit by severe weather. The weather gauge at the national park has recorded more than 930mm of rainfall in the last fortnight, and gusts in excess of 170kmh.  "Weather conditions at Mt Cook the past few weeks have also caused some issues for us operationally. At the end of the trial we will complete an in-depth analysis of this route before deciding whether to operate a repeat seasonal service next year." However, Mr Harper said he could not attribute any of the Hermitage Hotel's rise in guest nights to the introduction of the flights. "We have really good growth anyway [through our own work].  I don't think Air NZ could work out whether or not it's been a success, because it only ran for six weeks."

16 January 2013

25 Years Ago - January 1988 - Omarama and Greymouth


At Omarama on 23 January 1988 was Southern Aviation's Yeoman Cropmaster ZK-CPW.
Also at Omarama on the 23rd on glider tug duties was the Canterbury Gliding Club's Piper Pawnee ZK-CNG (above) and Piper Cub ZK-BTF (below)
 

Earlier in the month the Hawera Aero Club's Cessna 172 was at Greymouth on  the 4th of January  as was local Hughes 300 ZK-HIV



Out at Shantytown on the same day Hughes 500C ZK-HVL was on tourist flying.

15 January 2013

25 years ago - January 1988 - Alpine Fliers

At Franz Josef on 2 January 1988 Mount Cook Airline's Cessna 185 ZK-CVG and  Glacier Helicopters' Aerospatiale Squirrel were photographed at the strip.
 

Over at Fox Glacier Fairchild Hiller 1100 ZK-HHW and Mount Cook Airline's Cessna 185 skiplane ZK-MCQ were enjoying glorious West Coast sunshine.
 

On the other side of the Alps Cessna 185 skiplanes ZK-CBS, ZK-CKT,  ZK-CVG and ZK-CYA were all waiting passengers at Mount Cook on 23 January 1988 while Hawker Siddeley 748 ZK-DES was operating scheduled services.




SEX at Tekapo... Air Safaris' Cessna 207 and GAF N24 Nomad ZK-NME with  the company logo  but no titles. Photos taken on 23 January 1988.
 

14 January 2013

25 Years Ago - January 1988 - New Year at Hokitika

  1. Rutan Varieze ZK-EZE at Hokitika on 1 January 1988

Cessna 172 ZK-DXL at Hokitika on 1 January 1988

Popping into the Southland Hotel on a beautiful New Year's Day was Hughes 300 ZK-HOB. Photo taken at Hokitika on 1 January 1988  

Cessna 172 ZK-SBJ at Hokitika on 1 January 1988 

Another Cessna 172 on the day after... ZK-SBJ at Hokitika on 2 January 1988

Hughes 300 ZK-HYU at Hokitika on 3 January 1988

Norm Bishop's newly painted Gardan Horizon ZK-BXM. Photo taken at Hokitika on 4 January 1988

Out at nearby Kaniere was Hughes 300 ZK-HJR. Photo taken on 3 January 1988