1 00:00:00,040 --> 00:00:02,640 Speaker 1: Trouble on the tarmac for the coast less than eighteen 2 00:00:02,680 --> 00:00:05,640 Speaker 1: months in Origin there could be acting its Westport to 3 00:00:05,680 --> 00:00:09,000 Speaker 1: Wellington route. It's a bid for the government support that 4 00:00:09,080 --> 00:00:10,760 Speaker 1: looks like it's dead in the water. In New Zealand 5 00:00:10,800 --> 00:00:14,160 Speaker 1: Airport's CEO Billy Moore with us this morning. Hey Billy, Hi, 6 00:00:14,440 --> 00:00:15,360 Speaker 1: what's going on here? 7 00:00:16,120 --> 00:00:20,040 Speaker 2: Oh? Look, it's it's a tricky situation. Originea has been 8 00:00:20,079 --> 00:00:23,239 Speaker 2: clear they'll keep monitoring the route until mid May. It 9 00:00:23,360 --> 00:00:25,280 Speaker 2: has to work commercially for them and we have to 10 00:00:25,280 --> 00:00:28,840 Speaker 2: respect that. The difficulty we see in the regions to 11 00:00:28,960 --> 00:00:31,240 Speaker 2: the place like Westport is that the demand for the 12 00:00:31,320 --> 00:00:34,080 Speaker 2: route is there, but it has to also be matched 13 00:00:34,080 --> 00:00:37,800 Speaker 2: by the frequency and timing of services. So passenger numbers 14 00:00:37,840 --> 00:00:40,440 Speaker 2: will depend on it having enough like frequency to make 15 00:00:40,479 --> 00:00:44,000 Speaker 2: it practical I say commuters, and if you can't get 16 00:00:44,040 --> 00:00:48,400 Speaker 2: that scale up, the overall financial sustainability of the route 17 00:00:48,479 --> 00:00:50,120 Speaker 2: is harder to maintain. So it's a bit of a 18 00:00:50,200 --> 00:00:52,520 Speaker 2: chicken and egg situation with the timing of the routes, 19 00:00:52,560 --> 00:00:56,680 Speaker 2: of frequency and getting those numbers up to Origin. That's 20 00:00:56,680 --> 00:00:59,560 Speaker 2: what the council will be grappling with. How do you 21 00:00:59,600 --> 00:01:02,680 Speaker 2: give it a jolt so it can become something sustainable. 22 00:01:03,040 --> 00:01:06,440 Speaker 1: This is your classic regional airligned problem. 23 00:01:06,080 --> 00:01:09,920 Speaker 2: Isn't it. It really is, and in a lot of 24 00:01:09,920 --> 00:01:15,480 Speaker 2: countries around the world, there are processes to provide a 25 00:01:15,480 --> 00:01:18,840 Speaker 2: bit of that baseline support and get it moving so 26 00:01:19,080 --> 00:01:22,040 Speaker 2: that it becomes more sustainable over time. The clincher in 27 00:01:22,040 --> 00:01:24,360 Speaker 2: this case is that we support is also a joint 28 00:01:24,400 --> 00:01:27,080 Speaker 2: need to airport. That means it's one of the last 29 00:01:27,080 --> 00:01:30,480 Speaker 2: remaining airports around the country five of them that is 30 00:01:30,520 --> 00:01:34,560 Speaker 2: also co owned by the taxpayer. So taxpayers will already 31 00:01:34,600 --> 00:01:38,320 Speaker 2: cover half of the airport short for each year just 32 00:01:38,319 --> 00:01:43,800 Speaker 2: to keep essential airport services open, so things like emergencies, healthcare, ambulance. 33 00:01:44,280 --> 00:01:46,280 Speaker 2: So the question for us is how do we make 34 00:01:46,319 --> 00:01:50,040 Speaker 2: sure that public contribution that will continue anyway, is also 35 00:01:50,080 --> 00:01:53,960 Speaker 2: supporting a passenger route to make the actual public good 36 00:01:54,240 --> 00:01:57,560 Speaker 2: of that money worthwhile. So we definitely need to find 37 00:01:57,640 --> 00:01:58,320 Speaker 2: solution here. 38 00:01:58,520 --> 00:02:01,360 Speaker 1: One thing I've noticed, I've lot of friends who are 39 00:02:01,400 --> 00:02:05,640 Speaker 1: increasingly using regional airlines to get to places like Auckland 40 00:02:05,680 --> 00:02:09,680 Speaker 1: to Ketty Ketty with who does that one barrier barrier 41 00:02:10,560 --> 00:02:13,000 Speaker 1: Auckland to part up at our mood that's Chatham Air. 42 00:02:13,600 --> 00:02:17,200 Speaker 1: They're great airlines and they often have you know, good times. 43 00:02:17,320 --> 00:02:20,160 Speaker 1: They often have a flat fear structure, so it's a 44 00:02:20,240 --> 00:02:23,440 Speaker 1: lot more affordable than you know, your price gounging Air 45 00:02:23,480 --> 00:02:27,040 Speaker 1: New Zealand, et cetera. Is that how do you get 46 00:02:27,280 --> 00:02:30,120 Speaker 1: those airlines onto the search engines, because that's one of 47 00:02:30,160 --> 00:02:31,840 Speaker 1: the problems I reckon you find when you do a 48 00:02:31,919 --> 00:02:35,320 Speaker 1: search through an international that they don't pop up. You 49 00:02:35,440 --> 00:02:37,200 Speaker 1: just get jet Star and Air New Zealand. 50 00:02:38,320 --> 00:02:40,399 Speaker 2: Look, you're absolutely right to putting that out. It's something 51 00:02:40,400 --> 00:02:43,320 Speaker 2: we've been talking to the government about these airlines. You know, 52 00:02:43,360 --> 00:02:46,320 Speaker 2: they are great operations, but they are small in scale, 53 00:02:47,000 --> 00:02:48,960 Speaker 2: so it is tough for some of them to invest 54 00:02:49,000 --> 00:02:51,040 Speaker 2: in the systems that allow them to be in those 55 00:02:51,080 --> 00:02:53,640 Speaker 2: search engines and some of the other capabilities that we 56 00:02:53,720 --> 00:02:56,640 Speaker 2: see from the big airlines. Ear chatam So does have 57 00:02:56,720 --> 00:02:59,840 Speaker 2: that capability, but we think there is some more things 58 00:02:59,840 --> 00:03:04,680 Speaker 2: we can do to make sure their great offerings are 59 00:03:04,720 --> 00:03:07,720 Speaker 2: exposed to more and more people. Say, as you say, 60 00:03:07,760 --> 00:03:10,480 Speaker 2: once you start flying on them, you do tend to 61 00:03:10,480 --> 00:03:11,760 Speaker 2: stick because it is a great. 62 00:03:11,600 --> 00:03:13,959 Speaker 1: Service one hundred percent. Billy, appreciate your time this morning. 63 00:03:14,040 --> 00:03:17,799 Speaker 1: Billy Moore, who's New Zealand airport's CEO. For more from 64 00:03:17,840 --> 00:03:21,080 Speaker 1: Early Edition with Ryan Bridge, Listen live to news talks. 65 00:03:21,120 --> 00:03:24,400 Speaker 1: It'd be from five am weekdays, or follow the podcast 66 00:03:24,440 --> 00:03:25,320 Speaker 1: on iHeartRadio