Airways New Zealand proposes 7.7% price increase for airlines

Airways New Zealand is proposing an average annual price increase of 7.7% for airlines to “ensure the continued delivery of safe and efficient serves”, the commercial air navigation service provider said on March 4, 2025. 

This increase would translate to between 79 cents ($0.45) and NZ$2.80 ($1.59) per seat for commercial flights, depending on aircraft capacity. 

Airways has commenced its consultation with its stakeholders, customers, and the wider industry on its pricing for the next three yearly cycle from July 1, 2025, to June 30, 2028.

“Where possible, Airways has sought to offset the impact of cost inflation through careful management of our operating cost base and prioritisation of our capital programme,” Aviation chief executive James Young. “However, to sustain the current service provision and investment in the future, price increases are required.” 

For general aviation services, Airways is proposing a 6.8% price increase for 2026 and a cumulative 10.5% price over the three year period. The company said the increase reflects its underlying costs. 

“Ongoing investment in our people and critical infrastructure, and advancing our future service initiatives is paramount to ensuring we can continue to meet the expectations of our customers, today and tomorrow,” added Young.