Air Navigation Services, Pricing and Terms
Airways is a State-Owned Enterprise established under the State-Owned Enterprises Act 1987. Airways provides services on a commercial basis under that Act, and is also authorised by Section 99 of the Civil Aviation Act 1990 and under Civil Aviation Rules to provide the services covered by these terms.
Our role is to provide a safe and efficient air traffic service. We do this by delivering world-class services and real value to our customers.
The Air Navigation Services (ANS) we provide include:
- Aerodrome Air Traffic Management services
- Aerodrome visual navigation aid services
- Approach services
- Enroute domestic and Oceanic services
- Flight Information Services in uncontrolled airspace
- Alerting services in uncontrolled airspace
Airways Services, Pricing and Standard Terms and Conditions
In competitive markets, market forces determine services and prices. As there is no competition for many of Airways' services in New Zealand, a different mechanism is needed to define services and service levels, and to set prices.
We carry out business efficiently and build stakeholder confidence by maintaining a clear Service Framework and Pricing Framework. These define our services, set prices and incentivise excellent performance.
The Service Framework sets out the services we provide, who receives them, and where and how the services are delivered.
The Pricing Framework defines the methodologies to price these services.
The Standard Terms and Conditions for the provision of Airways’ services present the prices and contractual terms under which Airways provides its services.
Airways Service Framework 2021
Airways Pricing Framework 2022
Airways Standard Terms and Conditions 2022
Work out the costs of your upcoming flight
You can work out the costs of your upcoming flight using our Charges Calculator.
Previous consultations
2021 Review of Airways’ Pricing Framework and Standard Terms and Conditions
ShowConsultation on the review of Airways’ Pricing Framework and Standard Terms and Conditions opened on Wednesday, 3 November 2021. Submissions closed on Wednesday, 1 December 2021 and were posted on Airways’ website for customers, stakeholders and the industry to review and submit cross-submissions on. Cross-submissions closed on Wednesday, 15 December 2021. No cross-submissions were received.
The Pricing Framework was set in 2012 and defines the methodologies we use to price the services in the Service Framework. Our prices are set against the Framework on a three-yearly cycle, with the next cycle running from 1 July 2022 to 30 June 2025.
Before Airways sets prices for that period, we welcomed feedback on the Pricing Framework itself as well as a proposed change to the treatment of ‘works-in-progress’ (WIP).
Airways currently includes capital expenditure in pricing when it occurs, rather than when the asset in question is forecast to be commissioned. Regarding concerns customers have previously raised, we proposed to hold WIP in a separate account until the assets are forecast to be commissioned, meaning only customers only pay for services once they start to receive a benefit from them. This approach aligns with that adopted by the Commerce Commission. We also identified a number of minor areas in our Standard Terms and Conditions that required updating to comply with changes to legislation or reflect current practice.
Airways carefully reviewed and considered the feedback on the proposals and we thank submitters for their thoughtful and informed submissions.
Taking into account the general support received from submitters, Airways has decided to proceed with our proposed amendment to the Pricing Framework in relation to the treatment of WIP.
Airways has also decided to publish a revised version of the Standard Terms and Conditions including, where appropriate, minor changes and additional amendments in response to points raised by submitters.
We appreciate the time submitters took to respond to us in a thoughtful and constructive manner.
More information on the consultation, submissions and the decision document can be read below.
Consultation documents
Pricing Framework Review Consultation Paper
Proposed Standard Terms and Conditions
Decision documents
Submissions
Board of Airline Representatives of NZ (BARNZ)
2021 Review of Service Framework
ShowIn 2021 Airways consulted on our Service Framework which sets out the services we provide and who pays for them.
The Service Framework was last reviewed in 2012 so a review was needed to ensure it remains fit for purpose.
14 submissions and three subsequent cross-submissions were received.
The feedback from submitters was that there was nothing to suggest we need to make any substantial changes to our current Service Framework.
We appreciate the time submitters took to respond to us in a thoughtful and constructive manner.
More information on the consultation, submissions and the decision document can be read below.
Consultation documents
Service Framework Review Consultation Paper
Proposed Revised Airways Service Framework
Decision document
Service Framework Decision Paper
Submissions
Auckland International Airport Limited
Board of Airline Representatives of NZ (BARNZ)
Christchurch International Airport Limited
Civil Aviation Authority of New Zealand (CAANZ)
International Air Transport Association (IATA)
NZ Air Line Pilots' Association (NZALPA)
Rotorua Regional Airport Limited
Cross-submissions
Airways' pricing consultation for the 2019-2022 period
ShowEvery three years Airways consults with its customers – airlines, airports and the general aviation community – on enhancements to services and associated prices. The purpose of this is to ensure the continued safety and resiliency of the aviation network, while preparing for the future.
This latest pricing consultation commenced in January 2019 and was completed in May. The consultation included the opportunity for submissions, requests for further information and public meetings across the country.
All customer feedback, including 12 detailed submissions, were carefully considered in setting the final prices.
The final prices and Airways’ response to customer feedback are outlined in the consultation response document found below.
Decision document
Pricing For The 2019-2022 Period: Consultation Response Document
Consultation documents
Download Copy of Airways pricing calculator 1 Jul 19 Final Prices
Download Airways Standard Terms and Conditions
Download Airways pricing consultation - proposed prices
Submissions
Aircraft Owners and Pilots Association of New Zealand (AOPA NZ)
Board of Airline Representatives of New Zealand (BARNZ)
Airways pricing consultation for the 2022-2025 period
ShowAirways pricing consultation for the 2022 to 2025 period
Airways has now completed its consultation with customers and finalised pricing for 2022-2025.
Every three years Airways consults with its customers – airlines, airports and the general aviation community - on enhancements to services and associated service prices.
This latest pricing consultation commenced in April 2022. The consultation included the opportunity for submissions and requests for further information. All customer feedback was carefully considered in setting the final prices.
The final prices and Airways’ response to customer feedback are outlined in the consultation response document found below.
Response documents
Consultation response document - pricing for the 2022-2025 period
Consultation documents
Additional information document
Submissions
Board of Airline Representatives of New Zealand (BARNZ)
Glenorchy Air and the Queenstown Milford User Group