KEY POINTS:
Hamilton International Airport today confirmed a $5 levy on departing domestic passengers from January 8.
Air New Zealand is challenging the decision in the Auckland High Court, seeking a judicial review of the levy.
The challenge, based on six separate but related grounds, is not expected to be heard for some months.
Waikato Regional Airport Ltd chairman Jerry Rickman said the board had taken appropriate legal believed that the company was fully justified in implementing the levy as planned.
He said the levy was required to cover debt servicing of the new terminal development costing $15.5 million.
Of this, $10.5m was attributable to providing services to domestic passengers and the interest costs related only to the domestic portion.
"The airport is confident that we will be successful in defending the proceeding," he said.
If the challenge was successful, the levy would be refunded to passengers if appropriate, he added.
Passengers would be told to retain levy receipts so refunds could be claimed later if required.
Talks with Air New Zealand over landing and terminal charges would continue over the next few months, Mr Rickman said.
- NZPA