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Passengers lose choice in Air New Zealand deal

Passengers lose choice in Air New Zealand deal

The National Party says the proposed deal between Qantas and Air New Zealand sounds the death knell for competition on domestic routes.

“This deal hands control of domestic and Trans-Tasman services to Air New Zealand,” according to National’s Transport spokesman Roger Sowry.

“It’ll be running all three domestic airlines, including Freedom Air and Qantas, they’ll be able to set prices so other players can’t enter the market.

“That almost guarantees that Virgin Blue won’t take a gamble here, while its competitors maintain such a stranglehold over the local market.

“That’s obviously bad news for passengers and freight companies.

“Long-term, it’s likely we’ll lose on price, we’ll lose on service and we’ll lose on innovation.

“It’s a sugar coated deal that’s been made to look friendly and benign, when in reality it’s anything but friendly and benign.

“We’re calling on the Labour Government to stop hiding behind process and allow Parliament to debate this important issue.

National’s demanding a snap debate in Parliament it’s also mounting an effort to mobilise the public and industry against this deal, because it seems almost no-one except Labour’s supporting it,” Mr Sowry says.

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