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Old 16th Nov 2004, 02:24
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tinpis
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OH

Airnorth flights axed
By PAUL DYER
16nov04

A Territory airline has scrapped its ``milk run'' between Darwin and Alice Springs because the NT Government refused to pay it more than $200,000.

A second airline is considering covering part of the route _ but it is likely there will no longer be regular passenger flights between Darwin and Tennant Creek.

As reported by the Northern Territory News last week, Airnorth will cease regular services on the route from January 5.

Airline sales and marketing manager Andrew Dubyna said: ``We would like to see the route continue but the traffic is simply not there _ it is not feasible.''

Last year the Territory Government subsidised the airline $104,000 to continue the service, which stopped at Katherine and Tennant Creek, over the Wet.

This year the airline asked for $213,000 to continue service three times a week for the next 12 months.

The Government paid Airnorth $52,000 to extend the run through December.

But Transport and Infrastructure Minister Chris Burns yesterday rejected the overall offer on the back of flagging passenger numbers. ``It is clear a year-round operation of the Airnorth service is no longer viable,'' he said.

A disappointed Mr Dubyna said Airnorth was left with no choice but to axe the service.

He said the company predicted a loss of about $500,000 in the next year if the service continued.

The move has prompted Aboriginal Air Services to consider offering four flights a week between Alice Springs and Tennant Creek and establishing a possible trial Darwin-Katherine service.

General manager Anthony Sandford said flights could start in January. ``We have invested a lot of money into the aircraft _ to use them as much as possible makes sense,'' he said.

Aboriginal Air Services runs single-engine planes and would offer early morning and late-night services.

Dr Burns said the NT Government had committed $50,000 to installing emergency landing lights at Ali Curung and Ti Tree to make this plan possible.

Opposition Leader Terry Mills said the Government had let the Territory down by not supporting the Airnorth service.