Wirraway
27th May 2003, 07:41
http://www.stuff.co.nz/
Emirate Airlines eyes Tasman
TUESDAY , 27 MAY 2003
By ROELAND VAN DEN BERGH
Emirate Airlines is in talks with the Australian Government to fly the trans-Tasman route and potentially boost the chance of an alliance between Air New Zealand and Qantas.
Dubai-based Emirate Airlines is understood to be keen on flying to New Zealand, but wants to include a stop-off in at least one Australian city.
An Emirate spokeswoman said talks with the Australian Government were expected to be concluded today.
The Australian Government is keen to consider a deal that would allow Emirates to double its flights from Sydney and Melbourne to Dubai in return for competing on the Tasman route with the proposed Air New Zealand Qantas alliance.
Competition watchdogs in both countries have initially rejected the alliance, saying it would be too anti-competitive and result in higher fares.
Both the New Zealand and Australian governments have put their weight behind the alliance, which Air New Zealand says is needed for its long-term survival.
Qantas has offered Air New Zealand $550 million for a 22.5 per cent stake in the national carrier.
Air New Zealand spokesman Glen Sowry said Emirate would be joining several other airlines offering services across the Tasman.
It would guarantee competition, he said.
However, Emirate might struggle to convince competition authorities that its entry on the Tasman route would significantly increase competition on a route that is heavily dominated by Air New Zealand and Qantas, which together fly more than 200 services a week.
Emirate can already fly to New Zealand under an open skies agreement with United Arab Emirates, but Australia has so far refused permission for it to fly the trans-Tasman routes.
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Emirate Airlines eyes Tasman
TUESDAY , 27 MAY 2003
By ROELAND VAN DEN BERGH
Emirate Airlines is in talks with the Australian Government to fly the trans-Tasman route and potentially boost the chance of an alliance between Air New Zealand and Qantas.
Dubai-based Emirate Airlines is understood to be keen on flying to New Zealand, but wants to include a stop-off in at least one Australian city.
An Emirate spokeswoman said talks with the Australian Government were expected to be concluded today.
The Australian Government is keen to consider a deal that would allow Emirates to double its flights from Sydney and Melbourne to Dubai in return for competing on the Tasman route with the proposed Air New Zealand Qantas alliance.
Competition watchdogs in both countries have initially rejected the alliance, saying it would be too anti-competitive and result in higher fares.
Both the New Zealand and Australian governments have put their weight behind the alliance, which Air New Zealand says is needed for its long-term survival.
Qantas has offered Air New Zealand $550 million for a 22.5 per cent stake in the national carrier.
Air New Zealand spokesman Glen Sowry said Emirate would be joining several other airlines offering services across the Tasman.
It would guarantee competition, he said.
However, Emirate might struggle to convince competition authorities that its entry on the Tasman route would significantly increase competition on a route that is heavily dominated by Air New Zealand and Qantas, which together fly more than 200 services a week.
Emirate can already fly to New Zealand under an open skies agreement with United Arab Emirates, but Australia has so far refused permission for it to fly the trans-Tasman routes.
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