Air New Zealand boosts regional fleet with ATR deal

Air New Zealand has announced plans to purchase 15 new ATR 72-600 aircraft to bolster its regional operations.

Four of the new aircraft will allow for further growth on regional Air New Zealand routes while 11 will replace the airline’s ATR72-500 fleet.

The new 68-seat turboprop aircraft, which are collectively valued at US$375 million, will be delivered to the airline from late 2016 onwards. Seven of these aircraft have since been delivered, while the remaining seven will join its fleet by mid-2016.

The 15 additional aircraft are due to arrive at the end of next year.

The airline is in a price war with Jetstar, a subsidiary of Australia’s national carrier Qantas, which opened four domestic routes in New Zealand last month.

Its 29 ATR aircraft will mean it will operate the third largest ATR fleet in the world. Our focus on new aircraft is the ATR 72-600, so generally speaking those are the new aircraft we are investing in.

Read an in-depth analysis on the changing dynamics of New Zealand regional commercial aviation market in the November edition of Australian Aviation, on sale now.

Earlier this year, Air New Zealand scrapped flights to Kaitaia, Whakatane and Westport.

Air NZ signed for 14 -600s in 2012.

“We’ve already had several towns make that transition”.

It also featured improvements for passengers including overhead compartments which held 30 per cent more luggage than the ATR-500s. (Map generated by the Great Circle Mapper at gcmap.com.) Yet if Air NZ did want to operate turboprop aircraft in strong Roaring Forties headwinds between, say, Auckland and Invercargill at the southern tip of the South Island, the additional range could prove useful.

Prime Minister John key, who was at the announcement at Air New Zealand’s Engineering and Maintenance base at Auckland Airport, said tourism in New Zealand was booming with about 3 million tourists visiting each year.

The new ATRs would benefit regional New Zealand because more worldwide and domestic tourists would be willing to fly to the regions with increased flight frequency and more affordable fares, he said.