Ford approves limits on charter flights

Press, 30 December 1976, Page 3

Ford approves limits on charter flights

NZPA staff correspondent Washington

President Ford has approved the present limits on charter operations to New Zealand, Australia and Japan by non-scheduled domestic airlines.

In letters and papers released by the Civil Aeronautics Board, President Ford essentially approved a board decision, made last July, restricting such operations to these countries to World Airways and Trans International Airlines.

The board renewed the authority of World and T.I.A. but declined applications by Capitol Airways and Overseas National Airways for certificates to run supplemental air transportation to New

Zealand, Australia and Japan

President Ford said the need for services to the three Pacific nations and the number of carriers to perform it involved issues affected by foreign policy considerations and his approval of the board’s decision derived from such considerations.

Although World and T.I.A. are certificated to fly to New Zealand, Australia and Japan, their flights, at least to New Zealand, are determined by New Zealand authorities.

Charter operations are not covered by the U.S.-N.Z. bilateral air agreement which controls flights by scheduled airlines such as Air New Zealand and Pan American.

Any charter company, even though approved by the

United States, still has to have approval by New Zealand to fly into this country. Such approval has been given sparingly in the past. World Airways has run some passenger flights to New Zealand but a spokesman for T.I.A. said the airline had never flown passengers to either New Zealand or Australia although it did fly to Japan. However, T.I.A. does run charter flights to New Zealand and Australia to carry pacers and racehorses to North America. Both airlines are based in Oakland, California. The board said in its decision it was not enthusiastic about keeping Capitol and O.N.A. out of Japan, New Zealand and Australia “but it is required to insure that these markets do not lose supplemental service altogether.

“We would not shelter i ; these markets for the incum-1 ■ bents, T.I.A. and World, were I Iwe not convinced that open! ' competition between the four! carriers would jeopardise ‘ the acceptibility of supplemental carriage generally’-, both from the standpoint of the foreign nations and in the eyes of carrier management.” The board said it believed there was insufficient reason to assume that either New Zealand or Australia “will likely become less restrictive, or less solicitous of what they believe to be the interests of their scheduled flag carriers.” It added World and T.IA had acquitted themselves well I enough to warrant renewal of! their authorities.