Kiwi Air founder Wilson's new company is ready to fly

Tauranga residents could be in Palmerston North in just 55 minutes if a new airline headed by Hamilton City councillor Ewan Wilson gets off the ground.

The chief executive of Kiwi Regional Airlines (KRA) has announced plans for a six-day-a-week direct service between Tauranga and Palmerston North, connecting to Nelson.

Mr Wilson told the Bay of Plenty Times that KRA had deliberately avoided head-to-head competition with Air New Zealand.

Flights using a SAAB 340 aircraft were planned to start by early next year, with a mid-morning flight arriving in Tauranga from Palmerston North and returning after a short stopover. Passengers would be able to travel on a single ticket to connect to Nelson. Another ticket could take them from Nelson to Queenstown.

Mayor Stuart Crosby was confident there would be a market for the Palmerston North-Nelson route because Air New Zealand did not operate a cross-country service. Apart from the city being an important commercial hub, he could see demand for the route coming from Bay students attending Massey University.

He welcomed any services that helped the commuting public. "There's also nothing like a bit of good competition."

Tauranga Airport manager Ray Dumble said the new service would be great for the city. The terminal already had a counter ready to be used by KRA and its timetable fitted in with other aircraft schedules. The flight would arrive at 11.55am and depart at 12.20pm.

Mr Wilson said they were offering direct routes that had either not been flown for some time or were being exited by the national carrier. Air New Zealand services were from regional centres to the three major gateways of Auckland, Wellington and Christchurch, whereas KRA was flying between regional sectors.

The plan was to complement existing Air New Zealand services, to fill the gaps and make travel between regional centres as fast and affordable as possible.

Two SAAB 34-seat planes would begin flights with a third to be added, but the Civil Aviation Authority had to authorise an air operating certificate before KRA could launch.

Quizzed about his convictions on four counts of fraud after the collapse of Kiwi Air in 1996, Mr Wilson said there were no restrictions on his ability to be a chief executive. "The past does not define me," he said.

Mr Wilson said Kiwi Air had revolutionised transtasman air travel and he would take that knowledge into the new airline.

KRA's other plan to run flights from Auckland's Whenuapai military airbase to Wellington, to capitalise on North Shore residents who drive up to an hour to reach Auckland Airport, has run into opposition from Defence Minister Gerry Brownlee.

Mr Wilson said he would lobby the Government to change its position on Whenuapai, although KRA's strategy did not rely on the Whenuapai route.

Priority One chief executive Andrew Coker welcomed the news, saying any improvement to regional air services was good.

"If it is building value for the regions, then good on him."