Air services may be cut
PA Auckland Air New Zealand is expected to reduce services to some provincial towns within
the next few months. ■ Continuing rises in costs — fuel has just gone up another 2c a litre — and the budget 5 per cent tax, which resulted in a 6.3 per cent increase in fares, has done little to encourage people to fly. The airline, particularly on its provincial services, is flying some aircraft virtually empty.
Domestic traffic is down 8 per cent but some provincial routes are flying'only 10 to
20 per cent full. Towns such as Whangarei and, possibly, Taupo appear likely to suffer a reduction in services.
The airline is saying little about the move but privately airline sources say there is going to be some rationalisation of provincial and possibly some trunk services. It will not be a wholesale cutback, but there will be some paring down, said one source. Before the airline makes a decision it will hold talks with the Government, the air
licensing authority and the local bodies in areas affected.
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Press, 30 July 1980, Page 6
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177Air services may be cut Press, 30 July 1980, Page 6
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