Council sells case for Bay Jetstar route

New Zealand Jetstar head Grant Kerr, in Napier yesterday, scrunches up an Air New Zealand advertisement. He expects pressure from that airline on whatever new routes Jetstar chooses. Photo / Paul Taylor

The region's business and civic leaders have just over two weeks to fine-tune a proposal to encourage Jetstar to start flights into Hawke's Bay.

Senior Jetstar executives spent the day in the Bay yesterday meeting representatives from councils, Hawke's Bay Airport, business and tourism groups.

The meet-and-greet sessions are part of a nationwide assessment by the low-cost airline which announced this month it intended to begin flying into four new regional destinations from December.

Hawke's Bay is one of the potential destinations it is eying up, alongside Rotorua, Hamilton, Tauranga, Palmerston North, New Plymouth, Nelson and Invercargill.

The four-member Jetstar executive team held similar meetings in Hamilton on Monday before driving to Hawke's Bay, and drove out last night for their next round of engagements in Palmerston North today.

"We couldn't afford to fly," said the company's head of operations in New Zealand, Grant Kerr, referring to competitor Air New Zealand's monopoly on Hawke's Bay flights.

Speaking at a Hawke's Bay Chamber of Commerce meeting with business people, Mr Kerr said the airline's final choice of destinations would be based on where it saw the best growth opportunities and the most appealing partnerships with local organisations.

"They're the two key elements. This isn't about coming up with a share of the current pie, it's about growth - tourism, business travel in and out.

"Businesses that could actually relocate here and then commute. People who have never flown before because the airfares have been too high. People who want to fly more frequently but can't afford to," he said. "If the answer is, yes, that's what you want for your region, then we're in it together."

Jetstar's communications manager, Phil Boeyen, told the meeting the company's whirlwind round of regional meetings was providing valuable insights on the potential opportunities in each region.

"You can crunch numbers but [you need to] get out and talk to people and hear their opinions - we've learnt a number of things today about how this market feels."

The company said it expected "pressure" from Air New Zealand on its new routes, but would be setting them up for the long-term.

It had taken six years to become profitable on the main trunk routes it shared with the national carrier, and expected to face similarly tough conditions in the regions, Mr Boeyen said.

Jetstar has asked Hawke's Bay Airport to work with the local councils and other organisations to provide a final business proposal for the airline by July 16.

Napier Mayor Bill Dalton and Hastings Mayor Lawrence Yule said yesterday's meetings with the airline were very positive.

Mr Dalton said the councils had put up a strong combined business case to Jetstar.

Mr Yule said the company saw long-term growth in the region and the councils were able to highlight opportunities.