On The Up: Air Chathams and Air NZ mull interline deal for improved regional connectivity

Air Chathams began providing a service between Whanganui and Auckland in 2016. Photo / NZME

Air Chathams is looking to build on its services to regional New Zealand. As part of NZME’s On The Up campaign, chief operating officer Duane Emeny reveals a deal with Air New Zealand is in the works to improve regional connectivity.

Partnership talks are under way between Air New Zealand and Air Chathams after Covid-19 scuppered previous plans.

An interline agreement would allow customers to book Air Chathams connecting flights through Air NZ, creating one itinerary and eliminating the need to recheck luggage.

The revelation follows a story in Tuesday’s Whanganui Chronicle in which Air Chathams chief operating officer Duane Emeny spoke about the airline’s battle for survival through Covid and a recession and its future plans for services in regional New Zealand.

Emeny said he could not reveal too much about the interline proposal due to commercial sensitivity.

“What I can say is that [Air NZ] will be looking to establish something this year, and not too far into this year.

“It will be a staged roll-out, but we don’t know which routes will be taken up.

“That’s still up for discussion, but this is a very big step.”

He said there was “clear intent from Air NZ” and the national carrier recognised the importance of regional connectivity.

Air NZ chief transformation and alliances officer Mike Williams said the airline did its best to serve communities nationally.

“Smaller operators play a critical role and do an excellent job.

“We are in discussions with Air Chathams about potential opportunities to work more closely with them”.

A codeshare agreement between Air NZ and Virgin Australia was announced last year.

Emeny said codeshare was slightly different from interline.

“A lot of big airlines tend to codeshare with each other — selling seats on other aircraft under their own code.

“Interline can be unilateral or bilateral, and, in this case, it would most likely be unilateral.

“Effectively, we would just put our inventory into Air NZ’s system and that will enhance their route network, under their brand.”

Air Chathams took on the Whanganui route in 2016 after Air NZ withdrew its service under then-chief executive, now Prime Minister, Christopher Luxon.

Emeny said an interline agreement had been close to completion before the outbreak of Covid-19 in 2020.

“We’ve been in a bit of a holding pattern since then, waiting for Air NZ to have some capacity.

“Now, it looks like they’re keen to do it.

“It definitely helps when [Whanganui Mayor] Andrew Tripe and [Whanganui MP] Carl Bates show their support for it.”

Tripe said he was keen to fast-track the agreement and had sent a letter to Air NZ chief executive Greg Foran and Associate Transport Minister James Meager, who oversees aviation issues.

Duane Emeny says an agreement had been close to completion just before the outbreak of Covid-19 in 2020.

“Regional centres need to have the same love as other centres serviced by Air New Zealand,” Tripe said.

“We want people getting to and from [Whanganui] easily. We’re seen as a visitor destination more and more, and we need to make provisions.”

He said a deal would benefit all the centres Air Chathams operated in, not just Whanganui.

The airline services Whanganui, Whakatāne, Kāpiti and the Chatham Islands.

Emeny said an interline agreement would make travel seamless, with only one ticket required.

“This will be a slow burn, but there is positive intent. That’s the key thing,” he said.

An interline agreement would also introduce more people to Whanganui and Air Chathams, he said.

“Most people [overseas] have no idea who Air Chathams is, nor should they, and they aren’t going to look for our website.

“In terms of visibility, this [agreement] would be massive.”

Bates said he had also written to Foran about the potential agreement and met with NZ Airport Association chief executive Billie Moore.

“I’m doing my bit to support this,” Bates said.

“Having travelled the world over the years, I understand the importance of it.

“It would bring tourists into Whanganui and support business travellers from Whanganui.”

Tripe said Air Chathams was an airline that had “proved they can stick around”.

“Discussions with Air Chathams are ongoing for a potential Christchurch route and relocation to Whanganui,” he said.

“A South Island link is something our community has sought for a long time and will also be of benefit to our visitor sector.”

However, there was “plenty to work through”.

“The next step is a business case to determine high-level feasibility.”

Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present his focus is local government, primarily the Whanganui District Council.