Airport plan slots in well with Jetstar

Chairman at the Hawke's Bay Airport Tony Porter. Photo / Paul Taylor

A planned multimillion-dollar terminal upgrade could help boost Hawke's Bay Airport's chances in the race to attract low-cost carrier Jetstar to the region.

Jetstar announced on Thursday that it was pushing out into the regions with a fleet of five 50-seat Bombardier Q300 turbo-prop aircraft which would initially fly to at least four regional centres.

Hawke's Bay Airport is one of the destinations being considered, alongside Hamilton, Rotorua, New Plymouth, Palmerston North, Nelson and Invercargill.

Hawke's Bay Airport Ltd chairman Tony Porter said the company would be "extending the hand of friendship and co-operating as much as we can to meet Jetstar's logistical needs". The airport would work with the local councils, business and tourism sectors to ensure the region was "singing from a common hymn sheet" in its bid to woo the airline.

Previously announced plans to spend between $3 million and $5 million revamping the airport terminal - currently at the "sketch-plan stage" of development - coincided nicely with Jetstar's interest in the region.

"Knowing that we potentially have a new customer on board we can now extend the consultation to include them," Mr Porter said.

"We've always had a box on the plan which said 'new airline,' and so we've always been keeping our options open in the hope that we would get a new airline."

While completion of the terminal upgrade was probably at least a year away, "we can give Jetstar something in the future which may not be possible for them to get from Invercargill, who opened their new terminal last week," he said.

Jetstar is expected to make a decision on the new routes in September, with flights scheduled for take off in December.

On Thursday Hastings Mayor Lawrence Yule called on regional leaders to join the airport in presenting a unified bid to the airline.

Napier Mayor Bill Dalton said there was no question that would happen. "Jetstar will be looking at it from a business point of view, so we've got to come up with a business plan that suits Jetstar and suits us," Mr Dalton said.

Mr Porter and Mr Dalton both said the airport company also had to ensure Air New Zealand, the airport's largest customer, maintained its schedule into the region.

"Sure, cost is important, and competition should drive down cost, but also the essence of a commuter airport like ours is frequency of flights," Mr Dalton said.

Air New Zealand has said Jetstar regional expansion plans were not a surprise and it would fight back.

"We have worked hard over a long time to build a strong, loyal customer base and we will fight hard to remain the number one choice for regional customers," the company's chief executive, Christopher Luxon, said.

At a meeting next week, Hastings District Council will discuss a proposal to support changing the name of the airport to Ahuriri Airport Hawke's Bay - a move that was supported by Napier City Council last month.

The two councils collectively own 50 per cent of the airport. The other half is owned by the Crown.