Originair hopes to get government funding to keep Wellington to Westport flights

Originair, the regional airline, is seeking government assistance to maintain its direct flights between Wellington and Westport as it struggles with soaring fuel expenses. The airline's current support arrangement is set to expire at the end of this week. Development West Coast has been instrumental in sustaining the twice-weekly service, even providing complimentary return flights to Wellington to stimulate demand.

However, Originair's managing director, Robert Inglis, acknowledged in March that the route could no longer be financially viable for the company, as it was incurring losses even after taking over the service just 18 months ago. Inglis attributed the airline's inability to continue operations to the sharp rise in fuel prices following the Middle East conflict, which he deemed the "final straw."

He emphasized that the service was costing the shareholders around $500,000 annually and that the airline's capacity to operate it remained untenable due to low load factors and insufficient yields. Development West Coast has generously borne the cost for the past three months, but Inglis stressed that the airline needs further support to continue the service.

Specifically, the company requires an average load factor of 70 percent and net fares of around $350 to make the route economically feasible. Originair hopes to persuade the government to modify the criteria of its regional development funding to provide annual support until the country's economic situation improves. Inglis highlighted that much of New Zealand's growth is currently coming from its regions, and without a reliable service, the area's growth would be hindered.

He expressed confidence that a relevant meeting with the involved ministers will take place early next week.