The CAA has been investigating safety at the academy since May 23, with the New Zealand Qualifications Authority (NZQA) conducting an investigation into the quality of training.
The NZICPA’s Part 141-Aviation Training Organisation certification, which allows it to conduct aviation training and assessments, is suspended.
The CAA extended the suspension for an additional 30 days from June 23.
Compain said the academy was taking a phased approach to lifting the suspension.
An open letter from trainee pilots Murshid Mohamed, Saanvi Rawal and Shahad Parammal, on behalf of students and parents, said if the academy had been abandoned or shut down, it would have “left an unfortunate mark” on the perception of aviation training in New Zealand.
“The reputational ripple effect would have been swift, loud and global,” it said. “Fortunately, that outcome has been avoided.”
The letter said students and parents trusted the NZICPA, regulators, leaders and community members guiding the process.
“It is a case study in how a country with world-class aviation values responds to internal challenges without compromising its international credibility.”
Students had witnessed a period of deep uncertainty and concern over the past few months, it said.
“What emerged through this difficult time was a powerful example of how New Zealand’s aviation ecosystem – from regulators to local leaders – chooses to act, not out of fear or politics, but with clarity, unity and responsibility."
Whanganui Council Holdings (Holdings) chair Carolyn van Leuven said discussions about a potential sale were ongoing.
Holdings is the council’s commercial arm.
On July 7, the Chronicle reported five parties were interested in the business.
“We are undertaking due diligence and making a thorough assessment before we narrow down options and bring recommendations back to Whanganui District Council for a decision,” van Leuven said.
“As always, our priorities are to ensure a return to safe, high-quality flight training in Whanganui – and to get the best outcome for Whanganui ratepayers from a difficult situation.”
While planes were grounded, funding for students’ food and accommodation was coming from a $10.3 million funding package signed off by the council in 2023.
Compain said staff were ensuring the academy was well managed and costs remained within its existing funding.
Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present his focus is local government, primarily the Whanganui District Council.