Qantas has launched the cheapest domestic airfares seen in New Zealand, dropping fares between the two islands to just $29 for one week.
Launched on Monday, the "Hop, Skip and Jump" fares will enable travellers who book on the internet, to fly one-way between Christchurch and Wellington for $29,Christchurch and Rotorua for $59 and Auckland and Wellington for $49.
Other one-way fares include Auckland to Christchurch for $80 and Auckland to Queenstown for $110.
Qantas spokesman Simon Rushton said the response from customers was "encouraging".
The sale, with travel beginning in May and June only, coincides with the new routes between Christchurch and Wellington and Christchurch and Rotorua, which start in May.
Fares booked through travel agents and Qantas are $10 extra.
Air New Zealand spokesman Mark Street said it was "pretty normal" for airlines to cut prices temporarily to fill seats at quiet times but Mr Rushton said Auckland to Wellington was the only quiet route at the moment.
Air New Zealand would not say if it would drop its prices. Its cheapest fare on the same routes is $75 one-way between Auckland and Wellington.
Origin Pacific's cheapest one-way fare between Auckland and Wellington is $75 and Christchurch to Wellington is $55. From next month it will fly more frequently between the capital and Auckland on larger planes.
Competition could get hotter still when Australian airline Pacific Blue sets up its domestic service.
Rotorua Airport is trying to attract the airline by asking Rotorua District Council to contribute $7 million to extend aircraft parking spaces.
A check on the Qantas website showed the Christchurch-Wellington fares were the most popular.
