Low-cost startup AirAsia Japan, a joint venture between All Nippon Airways (ANA) and AirAsia, has been awarded its air operator’s certificate (AOC) by the Japan Civil Aviation Bureau, clearing the way for it to begin domestic operations on Aug. 1.

AirAsia Japan is one of three low-cost carriers that are expected to debut in Japan this year. The others are Peach and Jetstar Japan.

ANA and AirAsia reached agreement on the joint venture in July 2011 and established the company a month later. AirAsia Japan plans to begin operations with two Airbus A320s on three domestic routes from Tokyo Narita. A third A320 is due to arrive in October, enabling flights to the South Korean Cities of Seoul and Busan. The carrier will add a fourth A320 by the end of this year, with the goal of building the fleet to about 25 of these aircraft within five years.

AirAsia Japan CEO Kazuyuki Iwakata previously told Aviation Week that the carrier likely will place an order for A330s this year and plans to expand the A330 fleet to 10-12 aircraft.