Paul Phelan/CAIRNS

Australia and New Zealand have endorsed a new open skies agreement to allow both countries' international carriers to operate unrestricted international services across the Tasman Sea, and to continue those services beyond to third countries. Previously, 'beyond rights' services were limited to 12 Boeing 747s per week to a maximum of 11 countries.

The new policy will also allow other airlines of either country to operate domestically within the other country, as well as on trans-Tasman routes between designated international airports, subject to safety approvals. Australia and New Zealand will also mutually recognise one another's air safety approvals by December 2003. Airlines will no longer require government approval for their airfares, subject only to Australia's legislative processes.

International carriers of either country will be able to operate dedicated freight services from either Australia or New Zealand to third countries under 'seventh freedom' approvals. Thus, Air New Zealand could now operate a freight service from Australia without flying through a New Zealand port at any stage, and vice versa.

Domestic competition laws will continue to apply to the operation of both parties' airlines, however; and both governments say that they will use pressure to ensure fair access to airports. The parties will also examine the possibility of introducing seventh freedom traffic rights for passenger services.

All international services will continue to operate to and from designated international airports; and existing customs, immigration, and quarantine restrictions will not be affected by the agreement.

Australian Transport Minister John Anderson, and his New Zealand counterpart Mark Gosche signed a Memorandum of Understanding on 20 November to bring the deal into provisional effect immediately as part of a long-standing closer economic relations policy. The agreement now awaits formal ratification in accordance with each country's treaty processes.

Source: Flight International