KRA announce initial routes

New start up Kiwi Regional airlines has announced its first routes with a launch focus on Dunedin.

From Sunday 27-September-2015 KRA hopes to use its single Saab SF340A on the following daily rotation DUD-ZQN-DUD-NSN-HLZ-NSN-DUD-ZQN-DUD

KRA has always wanted to operate routes without direct competition from the national carrier, and with this route structure they have succeeded in that.

Dunedin - Queenstown is a route that has only been offered by small regional operators in the past with 9 seat aircraft so the introduction of a 32 seat aircraft on double daily flights is a big jump.

Dunedin - Nelson is a brand new route linking together two of the South Islands larger centres, a route that has never had a direct service.

Nelson - Hamilton is a route that has previously been operated by both Origin Pacific and Air New Zealand.

Despite being Dunedin centric in this initial schedule, the airline will base its crews in Hamilton.

Read more about the KRA plans via stuff.co.nz HERE

Rough start for potential new NZ domestic player

Startup regional player Kiwi Regional Airlines has announced its proposed route network, but has already suffered a knock back at the hands of the New Zealand Government.

KRA CEO Ewan Wilson is well know in the New Zealand aviation industry having been behind the failed Kiwi International Airlines that operated LCC services Trans-Tasman and fell victim to amongst other things predatory behaviour Air New Zealand's Freedom Air.

KRA's launch network was set to be;
AKL-HLZ-NSN-ZQN-DUD
WPE-WLG
WPE-PMR-BHE
NSN-PMR-TRG

However the New Zealand Government has confirmed it will not be revising a decision that prevents civilian flights from Whenuapai due to noise concerns.  This will prevent KRA from launching its WPE-WLG and WPE-PMR routes.

KRA's route network has been carefully chosen so the airline is not in compassion with Air New Zealand Link.

The company will be based in Hamilton, and will purchase two Saab 340 34-seater aircraft from Europe for the flights. Snacks and refreshments will be offered, and the service will include a flight attendant.

The airline is looking to add a third SF340 to the fleet once operations have commenced.  These cannot commence yet as KRA has yet to receive regulatory approval from the CAA, according to their press release, they hope to commence flights in late 2015 or early 2016.  As can be seen in the above graphic they are aiming to commence the application process on 01-May-2015.

Check out the airlines website HERE
the stuff.co.nz article HERE
the nzherald.co.nz article HERE
and the KRA press release HERE

Rex begins QLD services

As reported last year REX won the contract for several of the Queensland Government Regulated routes, beating out incumbent Skytrans.

The first service by Rex was today 1-January-2015 with the inaugural Western 2 service being operated by Saab SF340B VH-ZRH departing Brisbane shortly after 09:15AEST as ZL5662 to Wellcamp.  

This also marked the first service by Rex to Wellcamp, and the first of the regulated route services to Wellcamp, with Skytrains having previously serviced Toowoomba airport.

Rex Saab SF340B VH-ZRC at BNE in 2013

ZL5662 services the Western 2 route of Brisbane - Mt Isa via Toowoomba (Wellcamp) - Charleville - Quilpie - Windorah - Birdsville - Bedourie - Boulia

Today also saw the first Rex services on Northern 1 Longreach - Winton - Townsville & Gulf flights from Cairns - Mt Isa via Normanton - Mornington Island - Doomadgee

The Rise And Fall Of Airlines Fighting For Regulated Routes In QLD

The Queensland Government has announced the winning tenders to operate the Government subsidised regulated regional routes.

Winners

The big winner in the announcement is Regional Express (Rex) who have picked up three routes to add to their existing two, taking them to five regional Queensland routes.

Rex maintained their existing routes;
Townsville - Winton - Longreach (Northern 1)
Townsville - Hughenden - Richmond - Julia Creek - Mt Isa (Northern 2)

they have also added the following three routes;
Brisbane - Toowoomba - St George - Cunnamulla - Thargomindah (Western 1)
Brisbane - Toowoomba - Charleville - Quilpie - Windorah - Birdsville - Bedourie - Bouila - Mt Isa (Western 2)
Cairns - Normanton - Mornington Island - Burketown - Doomadgee - Mt Isa (Gulf)

All five of the routes will be operated by the Rex fleet of Saab SF340B aircraft, with the two Western routes operating through the new Brisbane West- Wellcamp Airport at Toowoomba.

Rex picked up Northern 1 and 2 in 2011.  The addition of Western 1 & 2 sees Rex return to scheduled services at Brisbane after an absence, however they have still operated FIFO and Freight charters from Brisbane, so have maintained a presence.

Qantaslink hold onto their two regulated routes;
Brisbane - Roma - Charleville (Central 1)
Brisbane - Barcaldine/Blackall - Longreach (Central 2)

These routes will continue to be operated by Qantaslink's Dash 8Q aircraft however both routes will see an up gauge with Central 2 up gauging to Q400 and Central 1 to Q300.

Losers

The big loser from this announcement is Skytrans who have lost almost all their regulated routes (to Rex) this comes hot on the heels of their loss of their Toowoomba - Sydney service which is ceasing due to the introduction of the new Qantaslink Q400 Wellcamp - Sydney services.

Skytrans cling onto life with their own services around Cape York and on the Cairns - Mt Isa route as well as their FIFO charters.  The Cape York network is as follows;

The Lockhart River, Coen, Arurkun services which operates the following different patterns on different days
Cairns - Aurukun - Coen - Lockhart River - Cairns (M)
Cairns - Coen - Lockhart River - Aurukun - Cairns (W, F)
Cairns - Lockhart River - Aurukun - Cairns (Tu, Th)

Mt Isa services
Cairns - Mt Isa (M-Tu, Th-F)
Mt Isa - Cairns (M, W-F)

The Edward River (Pormpuraaw) and Kowanyama service
Cairns - Edward River - Kowanyama - Cairns (M, Th)
Cairns - Kowanyama - Edward River - Cairns (Tu, F)

The Cape route to Bamaga
Cairns - Bamaga - Cairns (M-F)

The loss of the Western 1 & 2 contracts will see the end of Skytrans operating scheduled services from Brisbane however they will continue to maintain a presence through FIFO contracts.

Another loser in all of this is Virgin Australia Regional Airlines (VARA) who have for quite sometime been trying to get access into the Queensland regional routes, and have often been thwarted by the regulated route structure.  VARA tendered but did not win any of the available routes.  There only options for possible extensions to regional Queensland flying comes from existing routes or the below deregulated routes.
Time will tell if previous threats made by Virgin CEO John Borghetti to the Queensland Government regarding implications of the lack of access to the Queensland regions come to pass.

Start & Deregulations

All existing contracts end on 31-December-2014 with new contracts beginning on 1-January-2015.  

At the same time the following regulated routes, currently operated by Qantaslink  will be deregulated and opened to competition;
Townsville - Cloncurry - Mt Isa
Cairns - Horn Island
Cairns - Weipa

Learn More

Brisbane West Wellcamp Airport have welcomed Rex via a post on their Facebook Page

There is an article on the announcement from Brisbane Times reporter Cameron Atfield HERE

End of the line for Vincent in Australia?

Its been a sad day for Vincent Aviation's Australian entity and for regional Australian aviation, with receivers appointed who have ceased trading and flying while they investigate the business.

The grounding does not effect Vincent Aviation Limited the New Zealand based parent company.

At news of the shutdown Vincent Aviation's BAE 146 ZK-ECO which has operated FIFO charters mainly on the BNE-RMA-BNE route ferried from BNE back to WLG.

Vincent operated the 146 along with 4x Saab SF340's and 5 B1900Ds on RPT and FIFO rotes manly from their Darwin base but recently had launched the SYD-NAA (Narrabri) replacing former operator Brindabella who collapsed earlier this year.

This is a blow as I know a couple of people who work for Vincent who know have uncertain futures, my thoughts are with them at this time

Read the full announcement form the Receivers HERE and the article from Australian Aviation HERE

Here is a photo of ZK-ECO at YBBN last year during better times

Rex profits drops sharply on back of Carbon Tax

In a week of ups and downs for Australasian airlines, Regional Express Holdings have announced a profit slump of 45% with a before tax profit of $19.2m (AUD)

An outspoken critic of government policy, executive chairman Lim Kim Hai said: “This would ordinarily be grounds for much jubilation but instead we at Rex are all too painfully aware that this pole position is an aberration arising from one of the most toxic environments ever to face aviation in Australia.”
Rex ended the year with profits down 45 per cent and passenger numbers down 6.8 per cent.

Rex have fairly and squarely set the loss at the feet of the government's controversial carbon tax, and blasted the government for its implementation, despite the fact Rex recorded a profit more than twice as large as the Qantas group.

Read more on the Rex profit and Chairman Lim Kim Hai's attack on the government at Australian Aviation HERE