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More Seats Means Cheap Seats As Big Plane Enters Tasman Service

Contributor:
Fuseworks Media
Fuseworks Media

By Pam Graham of NZPA

Wellington, Feb 2 NZPA - Dubai-based Emirates flies the first scheduled Airbus A380 into Auckland today, upping the anti on the trans-Tasman route and the chances of cheap flights.

The A380 is the much hyped double-decked super-jumbo Qantas flew to Auckland last year to give us a look.

Emirates is putting the world's biggest commercial passenger jet into service on Mondays, Thursdays and Saturdays between Sydney and Auckland. It is effectively a hop from its Australia to London route.

This doubles its capacity into Auckland on these days and puts its trans-Tasman capacity up by 10-20 percent, said Derek Sadubin, chief operating officer of the Centre for Asia Pacific Aviation.

Air New Zealand says there is more capacity than there has ever been on the Tasman and it is war on prices.

Pacific Blue and Jetstar have increased services with Jetstar starting daily Auckland-Sydney and Auckland-Gold Coast A320 services from April 28.

Jetstar ran a $A99, or $NZ89, one-way special briefly late last year for the flights. In a three-day online sale this month Emirates offered $A99 one-way flights from Australia to New Zealand, excluding tax.

"There will be pressure on pricing over the Tasman for the foreseeable future," Mr Sadubin said.

"We think it is going to be a very difficult environment for all of the airlines in the trans-Tasman market."

The Emirates A380 carries 489 people, with 14 first class suites, 76 business class seats and a lounge to mingle in on the upper level, and 399 economy seats on the lower.

There has been a lot written about the two showers available to first class passengers. Passengers get five minutes slots and the showers are cleaned by dedicated staff between each use. The aircraft carries extra water for the showers.

The A380 is coming to New Zealand at a time when airlines are discounting fares heavily on all routes to encourage people to travel during the global economic downturn.

"We are not expecting any airlines to make money in 2009 and that is really a function of the fares that they are charging," Mr Sadubin said.

He has no doubt that very large aircraft are part of the future of aviation.

"The large aircraft grow markets and extract huge operating efficiencies on denser routes. If they can fill them up they can charge much lower fares than an airline offering a smaller aircraft on the same route."

The rise of Emirates is a challenge to all carriers, including Air New Zealand.

"They really are on the rise as a threat to the current structure of the aviation industry," Mr Sadubin said.

"For all carriers at the periphery of aviation markets the future really is for more and more marginalisation."

Smaller airlines have to focus on profitable niches.

He does not expect Emirates to reduce capacity.

"To the contrary we expect that they will go for the jugular in this environment and try to push as much capacity into their global network as they can," he said.

NZPA WGT pjg nb

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