Abu Dhabi-based Etihad Airways is to increase its activities in Australasia after signing a codeshare partnership with Air New Zealand and receiving Australian Competition and Consumer Commission (ACCC) authorisation for its proposed alliance with the Virgin Blue Group.
The ACCC has granted approval for a five-year alliance between the UAE carrier and the Virgin Blue Group of airlines. This gives a green light for the airlines to co-operate on joint pricing and scheduling of services across their respective networks. The alliance means that from February 24, Virgin Blue’s international arm, V Australia, will commence direct services to Abu Dhabi, moving towards a combined total of 27 weekly services between Abu Dhabi and Australia. These services include double-daily flights between Abu Dhabi and Sydney, daily between Abu Dhabi and Melbourne, and six frequencies per week between Abu Dhabi and Brisbane.
Etihad is to continue to build its presence in Australasia with the signing of an extensive codeshare agreement with Air New Zealand. The new codeshare services will go on sale from the end of February 2011, subject to regulatory approvals, with travel from the start of the Northern Summer schedule at the end of March. The agreement will integrate Air New Zealand Airpoints and Etihad’s Etihad Guest loyalty programs, enabling customers able to earn and spend miles on each other’s flights.
“This new codeshare illustrates Etihad’s growing ambitions in the Asia Pacific region,” said James Hogan, Etihad Airways’ Chief Executive Officer. “It opens up five key destinations in New Zealand that we have been eager to offer our customers for a long time and we are certain the connections and seamless flight experience offered by Etihad and Air New Zealand will appeal to business and leisure travellers.” There is a reasonable demand for traffic between the UAE and New Zealand. In the year ending November 2010, approximately 48,000 O&D passengers travelled between the two countries, although this figure will certainly be higher when you take into account transfer traffic in Dubai and Abu Dhabi. Emirates Airline is currently the market leader handling 81 per cent of this traffic and Etihad is confident that with through ticketing it will be able to better compete with its rival in the Australasian market.
The deal will see Etihad’s ‘EY’ code placed on Air New Zealand flights between Sydney and the cities of Christchurch, Rotorua, Wellington and Queenstown, between Brisbane and Auckland; Brisbane and Christchurch; Beijing and Auckland and flights into Melbourne from Auckland, Wellington and Christchurch. Meanwhile, Air New Zealand will place its 'NZ' code on all Etihad’s flights to London Heathrow, and its eleven flights a week from Abu Dhabi to Sydney, three flights a week to Brisbane, seven flights a week to Melbourne and three flights a week to Beijing.
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