Sounds Air Cuts Regional Flights Amid Rising Costs and Supply Chain Challenges
Sounds Air Cuts Regional Flights Amid Rising Costs and Supply Chain Challenges
Sounds Air, a key player in regional air travel across New Zealand, has announced the discontinuation of two of its regional routes due to soaring operational costs and ongoing supply chain disruptions. The airline will no longer operate flights between Blenheim and Christchurch, or between Christchurch and Wānaka, effective from the end of September. This decision follows the cancellation of two other routes earlier this year and the sale of one of its aircraft.
Andrew Crawford, Managing Director of Sounds Air, explained that the airline has been grappling with a range of challenges, including a weak New Zealand dollar, rising costs of aviation parts, and a shortage of skilled engineers. He emphasized that the airline has exhausted all possible options to remain viable, and the latest financial burdens have made it impossible to continue with the current service model.
"In the last three months alone, we’ve had an additional half a million dollars in annual costs imposed on the business," Crawford said. "At some point, you’ve just got to say ‘no more. We just can’t do it.’"
The airline is now shifting its focus to its core regional services, including the expansion of its Cessna Caravan fleet that operates around the Cook Strait. This strategic move is expected to be more sustainable in the long term, according to Crawford, who noted that demand for these services has been consistently high.
"The numbers we’re seeing are just astronomical," Crawford remarked. "We used to do four flights a day in and out of Nelson, but on Friday, we did 12. The demand is there, and these are cheaper aircraft to maintain."
However, the decision has come at a cost: 10 employees across the Wānaka and Christchurch bases will lose their jobs. Crawford acknowledged the difficult situation, especially for those who rely on these flights to access essential services like healthcare.
The airline has also expressed frustration with the recent increase in the passenger service levy from the Civil Aviation Authority, which it estimates will cost the business nearly $300,000 annually. Crawford said the airline has reached out to the government multiple times, but has not received the support it needs.
"We’ve just got to pull that on the travelling public," he said. "Where are we supposed to get that from?"
Despite these challenges, Crawford remains optimistic about the future of the airline with its renewed focus on Cook Strait services. He believes the changes will help the business become more resilient in the face of rising costs and ongoing supply chain issues.
As regional airlines continue to face mounting pressure, the situation highlights the broader challenges facing the aviation industry in New Zealand and the urgent need for government support to ensure these essential services remain accessible to all.
