The Top End is to lose one of its two direct routes to holiday hotspot Bali.
Budget airline AirAsia will suspend the Bali-Darwin route from January 28, 2018, citing network restructuring.
"AirAsia Indonesia will suspend its service connecting Bali with Darwin as part of a network restructuring aimed at improving operational efficiency," AirAsia said.
"AirAsia Indonesia would like to sincerely apologise for any inconvenience caused by the suspension of this route."
However, Northern Territory tourism Minister Lauren Moss thinks the current havoc caused by rumbling Mount Agung has weighed heavily on the airline’s decision.
"Uncertainty created by the imminent eruption of Mt Agung has had a significant impact on holiday demand into Bali and has disrupted flights over the month," Moss said.
"These factors underpin AirAsia’s commercial decision to suspend flights."
Head of aviation development at NT Airports, Matthew Findlay agrees, saying load factors on the route have been high.
"In the last six months, load factors have increased from 77 per cent to 84 per cent. The benchmark for any airline is anything above 80 per cent means you’re doing well," Findlay said, adding that he is confident the route may be reinstated once volcanic activity on Mount Agung ceases.
AirAsia said customers with forward bookings for after January 28 can change travel dates or apply for a full refund.
Budget carrier Jetstar also serves the Darwin-Bali route.
