BRISBANE – The sky wars in New Zealand have intensified with Virgin Blue Airlines and its three-year-old New Zealand subsidiary Pacific Blue confirming plans for a new domestic airline for New Zealand.
One-way Internet fares will start at NZD$39 – on sale for flights commencing in November 2007.
Initially the carrier will fly on New Zealand’s key trunk routes Auckland-Wellington, Auckland-Christchurch and Wellington-Christchurch from November 15.
The move by the Virgin Blue group comes as Singapore’s Tiger Airways continues to eye opportunities to launch New Zealand domestic services.
Virgin Blue chief executive Brett Godfrey said, “The time is right to bring some much needed competition to the existing duopolistic market (in New Zealand) and we are excited to be opening up new travel opportunities for both the people of New Zealand as well as inbound tourists.”
Godfrey said he was confident the circumstances to enter the NZ market were right. “There is room for competition and an obvious need for market stimulation. Pacific Blue is well positioned to give the existing players a good run for their money, particularly on the monopolistic Wellington-Christchurch route.”
The airline will take delivery of two Boeing 737-800 aircraft to join the Pacific Blue fleet and operate both international and domestic New Zealand routes.
Pacific Blue’s existing international services provide connections from within New Zealand to Australia, Samoa, Tonga and the Cook Islands.
Adrian Hamilton-Manns, Pacific Blue general manager Commercial, said, “It is no secret that the existing domestic duopoly results in higher fares and half-hearted competition and we very much look forward to challenging that and championing affordability for local travel.”
