Jet-setting Cantabrians will soon be able to fly directly to check out the cultural sights of Tokyo, the global metropolis of Singapore or the sun and sand of Perth as Air New Zealand launches three new routes.
Despite the national carrier’s turbulent six years, chief executive Nikhil Ravishanker has revealed that the airline will start flying from Christchurch to three new international destinations at the end of October.
“For the first time since pre-Covid really, we can talk about growth, and where we’re going to deploy some of that growth,” Ravishanker told the Herald.
“We’ve got 20 to 25% growth in our wide-body long-haul flying coming into the airline over the next couple of years. And the first place we’ve chosen to deploy some of that growth is out of Christchurch.”
Air New Zealand expects to lose up to $390 million this financial year, which ends on June 30.
The Middle East war would cost it about $240m more than it had previously expected to pay for jet fuel.
Opening up new routes amid this situation may seem to be an unusual move.
“We talk a lot at the airline about being able to hold two opposing thoughts and still function. It’s a bit of a rollercoaster ride here at the airline.
“The fuel crisis will pass, and we’ve got very good plans on how to mitigate and deal with the fuel crisis. The ability to walk and chew gum, as they say, is super critical for us at this stage.”
Why Christchurch?
“There’s a great buzz down there, isn’t there? Christchurch is really driving our recovery, as a city in New Zealand, and we want to support that.”
The airline last flew from Christchurch to Singapore in 2020, to Narita (Tokyo) in 2015 and to Perth in 2019.
The move is helped by the 787 aircraft returning to service after being grounded due to global engine maintenance issues, and new 787 aircraft entering the fleet.
Air New Zealand and Christchurch Airport have also signed a Memorandum of Understanding to develop a long-term partnership that includes stronger international connections for the South Island.
Christchurch Airport chief executive Justin Watson describes it as a “landmark moment”.
“Seeing multiple new international widebody services launch from Christchurch builds on the growth already happening across our international network and creates major opportunities for freight exporters, the tourism sector and our wider economy,” Watson said.
“New routes don’t happen overnight. They take sustained effort, collaboration, and giving airlines and travellers even more reasons to choose Christchurch. That means creating the right conditions for more non-stop services, supporting our partner airlines to grow successfully here, and continuing to strengthen our role as the South Island’s international gateway.”
Tourism Minister Louise Upston welcomed the move to deepen connectivity into and out of the South Island.
“New Zealand is a trading nation, so being well connected to the world matters. It supports tourism, helps our exporters reach global markets, and ensures people and goods can move reliably, Upston said.
There’s still no sign of a long-awaited return to London.
Air New Zealand permanently axed its Los Angeles to London route in October 2020.
“These aren’t mutually exclusive. There’s a lot more growth coming and we’re thinking about where we would deploy it. London remains one of the options that we’re looking at,” Ravishankar said.
“But there’s a lot we want to do even before those aircraft and capacity show up around making London more accessible through us and our alliance partners.”
It’s a tough route for the airline, logistically and economically.
“It’s one of the routes we really want to restart.”
But no date has been set, or even hinted at.
Behind the gloomy financial results and negative outlook, Ravishankar was determined to be positive and forward-focused.
“You have to plan for a world where the fuel crisis passes, and that’s what we’re trying to do is to start to build for a more profitable and prosperous airline, but always in service of the country, where Kiwis want to and need to travel, that’s where we will focus our attention.”
The airline has already signalled there may be further cuts to domestic and regional routes as the fuel crisis continues.
Ravishankar insisted the reduction in routes is a global problem.
“In the last 60 years, the airline industry hasn’t had to deal with fuel at the prices that it is at.”
While he’s promised there’ll be no more cuts between now and July, he was in the process of working out what might happen in the winter months.
“The good news is in those three months, those are by and large a shoulder season, so we can actually compress more of the flying and consolidate that flying to save on fuel costs.”
A session is planned for next week with regional stakeholders to troubleshoot the issue.
“This is not an Air New Zealand challenge alone, and this is certainly not a challenge Air New Zealand should be solving alone. Maintaining regional connectivity is something we all have to work together on and I am 100% committed to do that.
“We have to find creative ways to solve what is a very challenging issue.”
Air New Zealand is also increasing its Auckland-Singapore services over the peak Northern winter season, with four extra services a week.
Katie Bradford is a Senior Correspondent at the Herald. She has been a broadcast journalist for over 20 years and was based in the press gallery for 10 years. She specialises in politics, business and Auckland issues.