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Solomon Airlines has announced an airfare increase of 19% across
the board of both International and Domestic
services.
This is on the back of previous announcements by the airline and continued high
prices in Oil/Jet fuel the world over as well as overall costs increases in
parts and the continued weak Solomon Dollar. The increases were as approved by
ATLA (Air Transport Licensing Authority).
Some two months or so ago, the airline advised of its long awaited rise in fuel
surcharges just to play catch up games with higher Jet Fuel prices and since
then, prices continue to remain abnormally high to the extent of effecting all
airline operations.
In its submission to ATLA, Solomon Airlines pointed out the huge disparity
within the region of Domestic airfares and also the continued increases
submitted by Regional and International airlines regarding price increases in
airfares and fuel surcharges. It has been 4 years since the last airfare
increase (not referring to fuel surcharges) and the aviation arena has changed
dramatically since then.
“We are far behind in our recoveries to maintain some sort of parity within the
region and also to ensure viability is brought back into the business of
operating an airline” the airline said.
“The fact that we understand there may be an immediate downturn in travel due to
these increases and our sense of concern for the average Solomon Islander, who
can ill afford all the current increased woes to survive in our economy has
played a part in our delay in applying these increases. We however must act
responsibly to ensure a continued safe and viable operation throughout Solomon
Islands is maintained” the airline said.
“In addition, the airline has continued to suffer Domestic losses and is
addressing this issue prior to reviewing the continuation of some routes
depending also on Government views regarding subsidies for those
community
serviced routes”.
The airline also went on to point out that “even
after these increases, our Brisbane return airfares will remain well below that
of the competition.”
“The team will become more pro-active in it’s application of ‘new fare
initiatives’ and better product development to pass more benefits to our Solomon
Island travellers well into the future and performances relative to these
initiatives will be monitored” the airline summarised.
The increase will be effective immediately for Travel on or after the 19th
of August.
(Print)
Solomon Airlines and Our Airline (previously
Air Nauru) have announced a new arrangement today.
The new arrangement will see Solomon Airlines using Our Airline’s Boeing 737-300
aircraft twice a week from Brisbane to Honiara and return as a replacement for
the current Oz Jet operation three (3) times weekly.
The new Chairman of Solomon Airlines, Honourable Mathew Wale MP and the Chairman
of Our Airline, Captain Kevin Power, gave the final “thumbs up” to this new
arrangement and it is now all approved to proceed.
Effective 13th July 2008, Oz Jet will cease to operate on behalf of Solomon
Airlines and Chairman Wale cited “the older technology B737-200 was becoming
just too expensive especially with current fuel price trends.” He said.
“Furthermore, as we have shown in recent times, as a responsible Board and
Management, Solomon Airlines must review its operational costs and determine
strategies that will give the most benefit to our shareholders and in turn, the
people of Solomon Islands yet minimising any real impact on our services.”
The new arrangement is expected to see the number of services decrease from its
current four (4) flights per week to three (3) services from Brisbane with some
timing adjustments thereby allowing Our Airline to also benefit from synergies
by extending the Solomons flights to Nauru.
“This is a “win win” solution for a difficult time in Pacific Aviation let alone
the Regional Aviation wherein some airlines are planning to “park” older
equipment as it becomes evident that flying older technology aircraft would be
more expensive than parking them” Chairman Wale continued.
Numbers of seats will increase on the 3 flights weekly but the services decrease
from 4 to 3 to take account of a larger, more fuel efficient aircraft in the
-300 series Boeing, it was advised.
Chairman Wale said the new arrangements meant that the schedule would continue
with flights supplied by Air Vanuatu’s NEW B737-800 series aircraft each
Tuesdays with better timings from Brisbane of 1050 and from Honiara at 1540
whilst, the new Our Airline schedule meant an evening flight departing Brisbane
each Thursday at 8pm arriving into Honiara at mid-night whilst returning from
Honiara on Friday mornings at 0615 and arriving at 0830 into Brisbane
Sundays will remain with a 0930 from Brisbane and returning from Honiara leaving
at 8pm.
“All in all”, Chairman Wale said, Responsible Management of an airline meant
some hard decisions had to be made and, whilst it is not everything we wanted
for our clients and Solomon Islands, we have ensured the bottom line will be an
improved, efficient aircraft delivering a sustainable outcome for all”.
The new arrangement will operate from “13th July to the 6th October thereby
giving time for us to further evaluate the many options becoming available to
Solomon Airlines”. Chairman Wale outlined.
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