Trans-Tasman is reporting that "Commerce Minister Lianne Dalziel is to introduce legislation into Parliament this month providing a new basis for pricing at Auckland, Wellington and Christchurch airports. While most attention has been focused on the Govt’s intervention in Auckland International Airport’s foreign shareholding, the airlines say the pricing issue is more significant."
The fact that Air New Zealand is positive about this development suggests that the airports and their shareholders are likely to be less pleased.
We are less involved in Auckland Airport issues, but find it hard to see how Wellington Airport has been milking a cash cow to the detriment of consumer interests - as Air NZ is suggesting. There has been substantial reinvestment which has made Wellington Airport the best in the country facility wise, and it is set to bet get better. There have also been important runway improvements. And the work that the airport and others did to stop the anti-competitive Air NZ in its attempt to pressure agreement to a cartel arrangement on Trans-Tasman flights was of enormous benefit to the consumer and wider economy.
