Virgin Blue gets okay to launch service to New Zealand, South Pacific
Dateline: Monday July 14, 2003
Virgin Blue received approval from the Australian International Air Services Commission to commence services to New Zealand, Fiji and Vanuatu, which it is expected to launch in Oct. under a different brand.
Commission Chairman Ross Jones said the entry of Virgin Blue onto international routes signals the start of a new era in Australian aviation. "International travelers have a choice of Australian flag carrier for the first time since the collapse of Ansett International in September 2001," he said. "The Australian traveling public and the tourism industry will benefit greatly from Virgin Blue's presence on international routes."
The carrier was allocated capacity sufficient to operate daily 737 services between Australia and Fiji and four weekly 737 flights between Australia and Vanuatu, exactly the capacity it applied for in June (ATWOnline, June 17). It is authorized to operate any level of service to New Zealand, the commission said.
The full take-up of capacity on Australia-NZ routes is contingent upon a "satisfactory outcome" to the Qantas-ANZ alliance, currently before regulatory authorities on both sides of the Tasman, through the introduction of structural changes to ensure "a level playing field," Virgin Blue Manager-Commercial Planning and Strategy Karam Chand said last month. The airlines have offered undertakings relating to access to airport facilities and restrictions on their competitive response in a bid to overcome concerns about the anticompetitive impact of the proposed partnership. "Under this scenario, Virgin Blue envisages it will be able to ramp up capacity fairly quickly on the transtasman markets," he said.
Chand confirmed last month that the Virgin Blue brand will not be used for international services. It is understood that the Virgin name cannot be attached to offshore services without the permission of Singapore Airlines under provisions in the agreement between SIA and Virgin Group covering their jointly held Virgin Atlantic. In the application to IASC, Chand said the brand to be adopted for the international operation will be announced "in due course."--Loren Farrar
Sorry, just realised Wirraway covered this in
Australian Govt OKs Virgin Blue NZ, S Pacific Flights thread, same section.
