1 00:00:00,080 --> 00:00:02,080 Speaker 1: Now it looks like Westport is about to lose its 2 00:00:02,120 --> 00:00:06,240 Speaker 1: only air link. Originaires stepped into the Westport Wellington route 3 00:00:06,320 --> 00:00:08,920 Speaker 1: after Sounds are pulled out, but it's only been eighteen 4 00:00:09,000 --> 00:00:10,920 Speaker 1: months and now they say the route doesn't make financial 5 00:00:11,119 --> 00:00:14,000 Speaker 1: sense for them as well. Robert Inglis is Origin Airs 6 00:00:14,040 --> 00:00:16,479 Speaker 1: managing director and with us Robert Hallo. 7 00:00:17,880 --> 00:00:19,400 Speaker 2: Yeah, hi have it now? 8 00:00:19,520 --> 00:00:21,160 Speaker 1: Let me get this right. This is not an Iran 9 00:00:21,320 --> 00:00:23,720 Speaker 1: what makes the price of jet fuel go up? 10 00:00:23,840 --> 00:00:24,040 Speaker 2: Is it? 11 00:00:24,560 --> 00:00:26,000 Speaker 1: That's not what's going on here. This is just a 12 00:00:26,000 --> 00:00:26,800 Speaker 1: Westport problem. 13 00:00:26,960 --> 00:00:32,199 Speaker 2: Yeah, to be fair, Yes, that's correct. It's always been 14 00:00:32,280 --> 00:00:39,640 Speaker 2: quite a challenging route. Although the dramatic increase in price 15 00:00:39,720 --> 00:00:42,880 Speaker 2: that we've had for Jeta one last week nearly doubles 16 00:00:42,960 --> 00:00:45,680 Speaker 2: the price of the fuel, so that certainly doesn't help. 17 00:00:46,240 --> 00:00:49,360 Speaker 1: No, I can imagine what's the problem is there's just 18 00:00:49,360 --> 00:00:52,480 Speaker 1: not enough people flying out to Westport or flying out 19 00:00:52,479 --> 00:00:53,080 Speaker 1: of Westport. 20 00:00:54,640 --> 00:00:58,560 Speaker 2: I guess that is essentially the problem. Yes, I mean 21 00:01:00,520 --> 00:01:03,920 Speaker 2: the route has got a little bit of a checkered history. 22 00:01:04,000 --> 00:01:08,040 Speaker 2: Without boring anybody, it used to be operated by in 23 00:01:08,200 --> 00:01:11,760 Speaker 2: New Zealand and then in New Zealand subsidiaries there Nelson 24 00:01:12,600 --> 00:01:17,080 Speaker 2: and Eagle Air and about ten years ago you might recall, 25 00:01:17,160 --> 00:01:20,840 Speaker 2: I think it was when PM Luxton was head of 26 00:01:20,880 --> 00:01:25,919 Speaker 2: the New Zealand they decided to disestablish the entire Eagle 27 00:01:25,959 --> 00:01:30,440 Speaker 2: Air operation, which put sixteen of their nineteen seater beachcraft 28 00:01:30,520 --> 00:01:33,200 Speaker 2: on the ground. That meant that a lot of regional 29 00:01:33,319 --> 00:01:37,480 Speaker 2: ports in New Zealand suddenly had no air services, and 30 00:01:37,560 --> 00:01:42,280 Speaker 2: Westport was just one of those. Sounds there picked up 31 00:01:42,280 --> 00:01:46,080 Speaker 2: the service and I think operated a good service there 32 00:01:46,120 --> 00:01:50,280 Speaker 2: for a number of years, but eventually had to kick 33 00:01:50,360 --> 00:01:57,680 Speaker 2: for touch. We were lassued after that by MP Daminocontittacy 34 00:01:57,720 --> 00:02:00,360 Speaker 2: if we could help, and we said we would try, 35 00:02:01,480 --> 00:02:04,920 Speaker 2: but with a larger aircraft we couldn't really replace the 36 00:02:05,360 --> 00:02:09,840 Speaker 2: frequency of services that sounds you have, so we'd had 37 00:02:09,880 --> 00:02:11,880 Speaker 2: to We've had to pare it back a little bit. 38 00:02:12,400 --> 00:02:15,240 Speaker 1: So could you could you have run your service? I mean, 39 00:02:15,520 --> 00:02:18,040 Speaker 1: would it work to run your service less frequently and 40 00:02:18,040 --> 00:02:18,919 Speaker 1: get a fuller plane. 41 00:02:20,160 --> 00:02:23,799 Speaker 2: That's exactly what we've done, Heather. When we started there, 42 00:02:24,040 --> 00:02:27,360 Speaker 2: as you said, it was about fifteen sixteen months ago, 43 00:02:28,440 --> 00:02:32,080 Speaker 2: they were wanting daily services. We did that, but really 44 00:02:32,240 --> 00:02:37,000 Speaker 2: it was pretty painful financially, so we've cut the services 45 00:02:37,040 --> 00:02:41,919 Speaker 2: back this year to Wellington on a Monday morning, a 46 00:02:43,160 --> 00:02:46,080 Speaker 2: Wednesday morning and a Friday afternoon to try and cater 47 00:02:46,240 --> 00:02:48,120 Speaker 2: for people wanted to go to the capitol for the 48 00:02:48,160 --> 00:02:52,360 Speaker 2: weekend or vice versa and business people, and we have 49 00:02:52,520 --> 00:02:57,560 Speaker 2: had an improvement. I mean, the route is reasonably seasonal 50 00:02:57,720 --> 00:03:02,080 Speaker 2: a season A lot of people go there for the summer, 51 00:03:02,440 --> 00:03:06,800 Speaker 2: walking tracks, et cetera. And in recent months we've been 52 00:03:06,840 --> 00:03:09,799 Speaker 2: pretty pleased with the way things have been progressing. The 53 00:03:11,320 --> 00:03:15,480 Speaker 2: direct operating costs on the route have on some months 54 00:03:15,800 --> 00:03:18,959 Speaker 2: been covered by the revenue, so we were fairly positive. 55 00:03:19,120 --> 00:03:22,640 Speaker 2: But the winter is another thing. And then of course 56 00:03:22,919 --> 00:03:27,960 Speaker 2: the additional doubling a fuel price. We're just unfortunately had 57 00:03:28,000 --> 00:03:28,880 Speaker 2: to make a hard call. 58 00:03:29,520 --> 00:03:31,320 Speaker 1: Okay, how much money would the government have to put 59 00:03:31,360 --> 00:03:32,400 Speaker 1: in to make this work? 60 00:03:35,400 --> 00:03:41,000 Speaker 2: Well, when we originally approached government and that's local government 61 00:03:41,080 --> 00:03:44,360 Speaker 2: and central government, it was looking like it would need 62 00:03:44,440 --> 00:03:49,640 Speaker 2: about ten thousand dollars a week of support. That has 63 00:03:49,760 --> 00:03:54,040 Speaker 2: reduced to about half that level in recent months, but 64 00:03:54,280 --> 00:03:56,600 Speaker 2: if you multiply it by fifty two weeks, it's sort 65 00:03:56,600 --> 00:04:00,520 Speaker 2: of fairly chunky amount. But our views all has been 66 00:04:00,600 --> 00:04:04,080 Speaker 2: that with the service, just as you described, the less 67 00:04:04,120 --> 00:04:08,640 Speaker 2: frequent service, that as the New Zealand economy started to 68 00:04:08,640 --> 00:04:12,040 Speaker 2: get out of first gear and that there was generally 69 00:04:12,160 --> 00:04:18,960 Speaker 2: more confidence in people with extra discretionary pennies, that it 70 00:04:19,000 --> 00:04:24,039 Speaker 2: would probably be then financially washing its own face. So 71 00:04:24,080 --> 00:04:27,960 Speaker 2: we ask government for help during that period because they 72 00:04:28,000 --> 00:04:29,960 Speaker 2: had spent a lot of money in the area on 73 00:04:30,120 --> 00:04:35,320 Speaker 2: walking tracks and cycling tracks and talking about mineral exploration. 74 00:04:35,520 --> 00:04:39,680 Speaker 2: I would have thought it wouldn't have been too difficult 75 00:04:39,760 --> 00:04:43,680 Speaker 2: to look at. I mean, in many other ports in 76 00:04:43,760 --> 00:04:47,520 Speaker 2: New Zealand, an alternate airport is only an hourso's drive 77 00:04:47,600 --> 00:04:50,400 Speaker 2: away if you don't like the service that's being provided. 78 00:04:50,440 --> 00:04:53,120 Speaker 1: But from these guys go to Newland, it is a 79 00:04:53,160 --> 00:04:55,440 Speaker 1: long way. Robert, listen, thanks so much. Appreciate it mate. 80 00:04:55,440 --> 00:04:57,720 Speaker 1: There's Robert Engliss, origin ay Managing director. 81 00:04:58,279 --> 00:05:01,760 Speaker 2: For more from Hither Dupless Drive, listen live to news 82 00:05:01,800 --> 00:05:04,680 Speaker 2: Talks it B from four pm weekdays, or follow the 83 00:05:04,760 --> 00:05:06,400 Speaker 2: podcast on iHeartRadio.