Golden Bay Air Secures $1.1M Loan to Support Vital Regional Flights

Golden Bay Air will be the first airline to receive a loan from funding ear-marked for at-risk regional air routes, Associate Transport Minister James Meager says.

The airline will receive approximately $1.1 million from the $30 million package set aside by the Coalition Government from the Regional Infrastructure Fund (RIF), designed to stabilise the sector and support regional routes in the short to medium term.

Golden Bay Air’s loan will ensure the regional airline can refinance existing aircraft debt and fund essential ongoing major maintenance checks. This targeted relief will support it to maintain flights from Tākaka to Nelson, Karamea and Wellington, Mr Meager says.

The airline moves freight and supports essential access to health care and emergency services, when Tākaka Hill Road is cut off during severe weather events. It also provides an important tourism link for visitors accessing the Heaphy and Abel Tasman tracks.

The loan will help safeguard flights in and out of Golden Bay and improve the company’s operational reliability. Crucially, the support will strengthen economic resilience for a remote region by helping to keep businesses and people connected.

Ensuring the viability and connectivity of Golden Bay is vital for such an isolated community. This loan funding gives certainty to the tourism sector, helping build their future, West Coast-Tasman MP Maureen Pugh says.

Fund administrator, Kānoa, has received several loan applications from other airlines and is working to fully allocate funds as quickly as possible.

The RIF package also includes additional funding to support regional airlines to integrate bookings with the platforms of larger carriers. Known as ‘interlining’, this will allow passengers to book multi-leg journeys on a single ticket.

This initiative has the potential to be a true gamechanger for smaller carriers, by strengthening the commercial sustainability of regional airlines. It will support our regional connectivity and bolster Kiwis’ accessibility to travel around the country, Mr Meager says.

Airlines will be invited to apply for the interlining funding in the coming weeks.