Tag: new zealand (Page 1 of 3)

Hyundai Mipo Shipyard Chosen to Build New Interislander Ferries

December 28, 2020 / WIL BALDWIN

KiwiRail has named world-renowned Hyundai Mipo Dockyard (HMD) based in Ulsan, South Korea as its preferred shipyard to build the two new Interislander ferries.

KiwiRail Chief Executive Greg Miller said the decision to work with HMD was a significant step forward for the new Interislander project and the culmination of a robust, competitive, year-long selection process.

“Our ship procurement team and the evaluation panel, including naval architects, ship brokers and maritime lawyers, have undertaken a rigorous process to select the right shipyard and this announcement, on schedule, is a great end to the year for our team,” Mr Miller said.

“KiwiRail has specified a Makers’ List of components – predominantly American and European, including the engines, propulsion system and navigation system – to ensure the new ships will serve New Zealand well for the next 30 years.

“The two new ferries and the upgraded terminals in Waitohi Picton and Wellington are a major investment in the future of the Cook Strait freight and passenger services, with a significant taxpayer contribution. It’s crucial that we deliver the best outcome for New Zealand and for our passengers and customers and with the selection of HMD shipyard, I am confident we have achieved that.”

Once commissioned and built, the two new ferries will replace KiwiRail’s three ageing Interislander ferries,which are nearing the end of their working lives. KiwiRail operates around 3800 services a year, transporting about 850,000 passengers, 250,000 cars and up to $14 billion worth of freight, but with significant growth predicted.

New terminals and berths in Waitohi Picton and Wellington are planned to accommodate the new ferries and improve the Interislander service for customers and staff.

HMD is the world’s sixth-largest shipbuilder globally with decades of experience building complex ships, including HMNZS Aotearoa for NZDF.

It is over 20 years since New Zealand introduced a brand-new purpose-built ferry to its fleet. Once built, the two new ferries will be more efficient and support KiwiRail’s goal to reduce carbon emissions by 30 per cent by 2030 and be carbon neutral by 2050. The new ferries will be designed to use different energy sources through their life if these are available in New Zealand, and at day one will provide for battery operations when docking and plug into local power supply at each port.

The Government committed $400 million in Budget 2020 to the New Interislander project, building on a $35 million-dollar investment in Budget 2019.

Massimo Soprano, Ships Programme Manager at KiwiRail, said the selection process had been highly competitive with some of the best shipyards in the world putting in tenders for the contract.

Mr Miller said that despite the complexity and number of parties involved in the purchase of the two new ferries and the terminal upgrades in both Waitohi Picton and Wellington, things were progressing well with the new Interislander project.

A Letter of Intent (LOI) has now been signed with HMD. A LOI is a non-binding agreement that allows KiwiRail and HMD to progress to more detailed contract negotiations and is a normal step in the procurement process for large-scale ship building.

Qantas & Japan Airlines Form Tourism Recovery Business Venture

December 27, 2020 / WIL BALDWIN

Qantas and Japan Airlines (JAL) today announced plans to form a new joint business, designed to better serve customers travelling between Australia, New Zealand and Japan and support the tourism industry’s recovery when international flying resumes.

The airlines have submitted an application for authorisation to regulators in Australia and New Zealand, with a decision expected within six months. Subject to this regulatory approval, it is anticipated that the joint business would commence operations around July 2021, when Qantas has said it expects its international network to gradually restart.

The coordination made possible through a joint business would enable Qantas and JAL to ramp up flights between Australia and Japan sooner than would otherwise be possible. The airlines have flagged an intention to launch a new route between Australia and Japan and expect to announce details once regulatory approval is received, borders open and demand returns.

Under the proposed five-year agreement, the airlines would deliver substantial benefits for customers and help accelerate the recovery of the tourism, trade and corporate travel links between Australia and Japan, including:

An expanded codeshare relationship and optimised schedules on flights between Australia and New Zealand and Japan, opening up more connections to more destinations beyond the major city gateways. Qantas customers would have access to 14 new codeshare destinations in Japan and JAL customers would have access to 15 new codeshare destinations in Australia and New Zealand.
Enhanced frequent flyer benefits for Qantas and JAL customers, including improved earn of Qantas points or JAL miles on routes under the joint business beyond what is possible today, as well as the ability to upgrade using points or miles on each other’s services.
Improvements in the customer experience, including streamlined processes for disruption management and investments in product and service inflight and on the ground, designed to better serve the carriers’ joint customers.
More premium travel opportunities, with Qantas able to offer customers a greater number of Business and Premium Economy seats on flights operated by JAL.
Coordination of pricing, schedules, sales and tourism marketing to develop new and improved travel products, delivering more choice for customers.

Qantas Group CEO Alan Joyce said the joint business would play a vital role in reviving trade links with the world’s third largest economy and deliver significant benefits for customers travelling between Australia and Japan.

“Around half a million people visited Australia from Japan in 2019. We want to see that tourism resume and grow even further by making it easier for Japanese travellers to visit,” said Mr Joyce.

“The joint business means we’ll be able to build on our existing relationship with JAL through oneworld to offer more routes, better flight connections and more benefits to frequent flyers. It also helps us diversify our portfolio of joint businesses amongst Australia’s key trading partners.

“It will be a win for our customers, a win for trade and a win for the one million people who work in tourism across Australia.”

Japan Airlines President Yuji Akasaka added: “For over 50 years, JAL and Qantas have operated flights between Japan and Australia, demonstrating our mutual commitment to support and strengthen the diplomatic relationship built by the two countries.

“We believe that a joint business with Qantas will make for a quicker recovery between both countries with the ability to expand connectivity within each carrier’s respective domestic network, providing more customer choice and travel growth opportunities.”

COVID-19 Impacts KiwiRail’s Fiscal Year 2020 Result

November 29, 2020 / WIL BALDWIN

The COVID-19 pandemic had a significant impact on KiwiRail’s bottom line for the past financial year, but rigorous operational changes and cost savings measures have helped stabilise the business, KiwiRail chairman Brian Corban says.

KiwiRail Holdings Limited, New Zealand’s national rail provider, which also operates the Interislander ferry service across Cook Strait, today reported an operating surplus of $40 million¹in FY20 for the KiwiRail Group, down $15 million compared with FY19².

FY20 was also notable for the additional $1.2 billion of Crown funding allocated in Budget 2020, including $400 million to progress the iReX project to replace the three ageing Interislander ferries with two brand new ones. When they arrive, they will be the first new purpose-built ferries in Interislander’s fleet for 25 years. The Budget 2020 allocation also allows the purchase of new locomotives.

Mr Miller explains that COVID-19 interrupted progress on some significant projects including the rejuvenation of the North Auckland Line where $35.5 million of $164.5 million allocated by the Provincial Growth Fund was spent during the year. More than 400 staff, contractors and sub-contractors are at work building tracks, replacing bridges and making tunnels suitable for wagons carrying hi-cube containers in Northland.

Other highlights during the year included the full return to service of the Main North line through Kaikōura and, in Wellington, work advanced on upgrading the metro network including construction starting on a second 2.7km track between Trentham and Upper Hutt.

¹ Operating surplus represents earnings before depreciation & amortisation, interest, impairment, capital grants and fair value changes.

² FY19 Operating surplus of $55m excludes impact of non-recurring items ($29m Holidays Act remediation).

Boeing Built Space Force Satellite Passes Design Review

October 10, 2020 / WIL BALDWIN

Boeing [NYSE: BA] and the U.S. Space Force successfully completed the first major engineering design review for the Wideband Global SATCOM (WGS)-11+ communications satellite. This successful review demonstrates that Boeing is ready to proceed to the final system design phase. Production will begin next year at Boeing’s El Segundo factory, with delivery scheduled for 2024.

WGS-11+ features a modern digital payload that performs at twice the operational capability of its predecessors, increasing the availability of military-grade communications. Leveraging advances in Boeing commercial technologies, it will provide secure communications to connect U.S. and allied forces globally.

The current WGS constellation, consisting of 10 satellites, is the backbone of the U.S. military’s global communications system, providing flexible, high data-rate connectivity. Users include all U.S. military services, the White House Communications Agency, the U.S. State Department and international partners.

“Completing this engineering design review is a key milestone and brings us one step closer to delivering this groundbreaking satellite to the warfighter in record time, significantly improving capacity and coverage to our soldiers, sailors, airmen, Marines and allies,” said Col. John Dukes, chief of the Geosynchronous/Polar Division at Space and Missile Systems Center Production Corps.

“WGS-11+ uses narrower spot beams to deliver a stronger, more reliable connection exactly where it’s needed, which means better performance and greater flexibility than ever before,” said Troy Dawson, vice president of Boeing Government Satellite Systems.

In addition to U.S. military forces, the WGS constellation provides service to international partners including Australia, Canada, Denmark, Luxembourg, New Zealand, the Netherlands, the Czech Republic and Norway.

Queensland to Assemble Boeing’s First Australian Designed & Developed Unmanned Aircraft

October 5, 2020 / WIL BALDWIN

Queensland is poised to take another bold step in aerospace and advanced manufacturing with an historic opportunity to be the final production home for unmanned defence aircraft – the first military aircraft to be designed, engineered and manufactured in Australia in more than 50 years.

Premier Annastacia Palaszczuk said a visionary new partnership with Boeing Australia means more high-skilled jobs, local supply opportunities and defence industry stimulus as Queensland continues to recover and grow from the COVID downturn.

Our investment in this advanced manufacturing project will provide critical skills for suppliers, academia and Boeing, and culminate in Queensland becoming the primary final assembly facility for the Boeing Airpower Teaming System, conditional on orders.

The first aircraft prototype, called the Loyal Wingman, was unveiled with the Royal Australian Air Force in May this year.

Treasurer Cameron Dick said the Boeing partnership demonstrated the Palaszczuk government’s commitment to advanced manufacturing.

“Manufacturing is a vital part of the Queensland economy, which is why supporting manufacturing is one of the centrepieces of our Unite and Recover Economic Recovery Plan,” the treasurer said.

“Our government’s longstanding commitment to advanced manufacturing is one of the reasons Queensland is already home to Boeing’s largest workforce outside the United States.

“Boeing has 1,700 staff in Queensland and supports 400 Queensland-based suppliers.

Boeing Australia, New Zealand and South Pacific President Brendan Nelson said the partnership with the Queensland government to develop an advanced manufacturing capability was a significant milestone for the company.

“This includes introducing technologies such as advanced robotics; investment in universities, small-to-medium enterprises and start-up companies; as well as creating global export opportunities for Australia’s supply chain.

More Rewards for Qantas Frequent Flyers as Travel Resumes

July 18, 2020 / WIL BALDWIN

Qantas is making it easier for Frequent Flyers to use their points on domestic and Trans-Tasman flights, as more travellers look closer to home for their next holiday.

For the rest of 2020, Classic Flight Reward seat availability will be increased by up to 50 per cent to the most popular destinations in Australia and New Zealand including Cairns, Sunshine Coast, Sydney, Queenstown and Auckland (when flights recommence).

To help regular flyers maintain their travel benefits, Qantas Frequent Flyer will also be giving tiered members Silver and above a one-off Status Credits bonus to compensate for reduced flying activity.

The increased availability and status support are part of a raft of initiatives from the loyalty program designed to give members more value from their upcoming holidays and the broader program.

Other program improvements include:

Extra Status Credits: To help our most frequent flyers maintain their benefits throughout travel restrictions, eligible Silver, Gold, Platinum and Platinum One members will automatically receive 50 per cent of the Status Credits they need annually to keep their tier. Members most impacted, such as those whose membership year started at the peak of travel restrictions, will also be eligible for additional monthly Status Credits support. Loyalty Bonus’ for members will now also count towards reaching or retaining Platinum One until 31 December 2021.

Better value on accommodation: The number of points required for Points Plus Pay Qantas Hotels bookings will decrease by 20 per cent effective immediately. For a limited time only members will also receive 5,000 points back when they book a minimum of 3 nights and on selected Qantas Luxury offers earn up to 125 bonus Status Credits when they book before Monday 31 August 2020.

Greater flexibility: To enable members to plan their holidays with more confidence, bookings made using points on Qantas Group flights will have any change or cancellation fees waived until 31 October 2020.

More Points Planes: Qantas Frequent Flyer will launch more Points Planes – exclusive flights for frequent flyer redemptions – to meet the pent-up travel demand of members and boost Australian tourism. Timings and destinations of the flights will be released over the coming months.

Improved digital experience: Qantas Frequent Flyers will soon have a new way to plan their holidays with points. ‘Dream Planner’, launching on 28 July 2020, uses real time data and notifications to keep members informed on reward seat availability and special offers to their preferred destinations.

Qantas CEO Alan Joyce said the changes were good news for members and for tourism.

“Australia is home to world-class destinations and Qantas is making it easier for frequent flyers to visit them,” Mr Joyce said.

“We’re adding more Points Planes and more reward seats to our most popular domestic destinations, because that’s where people will be holidaying for the rest of the year.

“We’re also helping our most loyal flyers maintain their travel benefits by giving them extra Status Credits in recognition of their long-term loyalty.”

Qantas Loyalty CEO, Olivia Wirth said Qantas Frequent Flyer is one of the most attractive loyalty programs in the world because it’s always evolving and innovating to meet the needs of its 13 million members.

“We’ve been listening to our Frequent Flyers closely over the last few months about how they feel about travel, where they want to go and how they want to use their points,” Ms Wirth said.

“What emerged was that despite what’s going on around the world, the notion of the dream trip is well and truly alive, they’re just looking a little closer to home.

“Qantas Frequent Flyers are some of the country’s biggest advocates for travel and this has been reflected in the number of bookings we’re seeing as travel restrictions ease.

“That’s why we’re continuing to invest in making our members’ travel dreams a reality with more choice, better value and greater flexibility.”

Fast facts:

Intention to travel for Frequent Flyers remains high at 90 per cent.
Majority of Qantas Points in the program are earned on the ground, this hasn’t changed.
Qantas Frequent Flyers typically save points over a long period of time for a big dream trip – travel still remains the number one preference to redeem points.
Qantas’ latest nationwide sale shows that Sydney-Brisbane, Melbourne-Sydney, Perth-Broome, Sydney-Cairns, Brisbane-Cairns as the most popular routes.

KiwiRail to Resume TranzAlpine Service on July 4th

June 29, 2020 / WIL BALDWIN

KiwiRail is delighted to announce the return of its acclaimed TranzAlpine train service between Christchurch and Greymouth.

“I’m excited to be able to say that this award-winning train, which last ran on March 22 before the lockdown, will be back from July 4,” KiwiRail Group Chief Executive Greg Miller says.

“We will resume with a weekend and school holiday timetable in July and August as KiwiRail continues to assess demand in a difficult season for tourism, with borders still closed to international visitors.

“We’re conscious of how important this service is to the West Coast economy and we’re looking forward to bringing visitors to the Coast again, allowing them to see the snow-capped Southern Alps along the way.

“This will be an ideal time for New Zealand families to try something new, and together experience what Lonely Planet has described as one of the world’s 10 most amazing rail journeys.”

During July and August, the TranzAlpine will run on weekends, departing Christchurch at 8.15am, and spending an hour in Greymouth before leaving at 2.05pm on Saturdays and Sundays. It will also run every day of the school holidays, July 6-17 inclusive, on the same timetable as weekends. KiwiRail hopes this will be an opportunity for families to share this unique experience. All fares will be changeable, fully refundable and available at the winter special rate of $75 per seat one way.

Opening the TranzAlpine is KiwiRail’s priority for its scenic train services which, on average, have more overseas than domestic customers. The company also operates the Coastal Pacific train between Picton and Christchurch, which does not run during winter, and the Northern Explorer between Auckland and Wellington which is not currently considered financially viable. No decisions have yet been made on the return of the Northern Explorer and Coastal Pacific. KiwiRail also runs a commuter rail service between Palmerston North and Wellington, which resumed in late April.

“Covid-19 has taken a heavy toll on tourism everywhere and unfortunately, like other tourism providers, KiwiRail and the communities we serve have suffered the impact,” says Mr Miller.

“We have utilised this downtime to look at exciting opportunities and options, including offering different classes of service onboard the TranzAlpine, beginning this spring. We are confident we can serve the market at different levels with an enhanced service for those who want something extra, while still ensuring more accessible fares are also on offer.”

The booking system at www.greatjourneysofnz.co.nz/tranzalpine/ is open now for TranzAlpine bookings in July and August, and bookings will open shortly for September and beyond. KiwiRail will be contacting those people who have bookings on services that have been cancelled. Those people already booked on the Northern Explorer – which has very light advanced bookings – will be given a 100 per cent refund or, if they prefer, a letter of credit. People booked on the TranzAlpine on days when it will not now run can choose to be rebooked, or receive either a 100 per cent refund, or a letter of credit for a future booking.

In addition, anyone with an existing booking on the TranzAlpine for one of the winter weekends or the July school holidays will receive a refund of the difference between the higher fare they paid, and the new winter special rate of $75 per seat. For example, if you have already paid $150 for a ticket on the TranzAlpine, we’ll either refund you the $75 difference, or give you a voucher for $75 to spend onboard, or you could use the difference to buy another ticket for a friend or family member.

“We know that our customers all look forward to their trips with us, just as we look forward to serving them. We apologise to affected customers for any inconvenience as we urgently consider how to make long-distance train journeys more attractive, more diverse and more financially sustainable.

“Our Interislander ferries and scenic trains play a significant role in New Zealand’s tourism sector but 2020 has turned out to be difficult for all operators. We are focussed on our return, and on better days ahead.

“We’re working hard on options and opportunities, are looking forward to making further announcements. In the meantime, we will welcome families and holidaymakers aboard the TranzAlpine from Saturday, July 4.”

What to Expect From Air New Zealand at Alert Level One

June 8, 2020 / WIL BALDWIN

Air New Zealand has shared what customers can expect while travelling with the airline when the country moves to Alert Level 1. These changes will be progressively rolled out over the coming days.

Air New Zealand General Manager Customer Experience Nikki Goodman says Alert Level 1 will mark a return to normal with regards to domestic flying.

“Social distancing is no longer a requirement, unaccompanied minors will once again be able to travel domestically, and customers will be able to travel around New Zealand again with pets as checked baggage.

“Customers are still encouraged to check-in for their flight via the Air New Zealand mobile app to save time at the airport. We recommend allowing plenty of time to process through the airport as we expect to see more people travelling at this level. As we’ve adapted our processes to support customers through Alert Level 2, we’ve gained some great insight into changes that we will adopt going forward, and customers can expect to see some of these as they travel.

“Our domestic lounges are open except for Auckland Domestic, which is undergoing refurbishment, and Wellington and Christchurch regional lounges which remain closed at this stage. Hot food will be available again and served to our customers, while other food will be pre-portioned and available at the buffet. Inflight, customers would have noticed our food and beverage service resumed under Alert Level 2 with the exception of Koru Hour. We are working closely with our partners and suppliers to bring this back over the coming weeks.

“As always, our top priority is ensuring we keep our customers and people safe, so high touch surfaces on board and in our lounges and airport spaces will continue to be cleaned regularly. Our jet aircraft are fitted with hospital-grade air systems that filter out viruses, and hand sanitiser will continue to be available across the airport, kiosks, service desks and all our aircraft for customers and staff to use as they wish.

“As we get back into more frequent flying, please be patient with us, as our contact centre and customer care teams continue to receive a high volume of enquiries. If your travel isn’t urgent, we’d appreciate if you would wait to contact us so that those with imminent travel can be prioritised. We’re thrilled to welcome more people on board, but please remember to be kind to our frontline employees – and if you are unwell or have Covid-19 symptoms please do not travel.”

Further details on the customer journey for Alert Level 1 can be found on the COVID-19 hub on the Air New Zealand website.

The airline plans to operate around 55 percent of its usual domestic capacity (compared to pre-COVID-19 levels) from July and August. On Monday the airline began operating to all 20 of the domestic ports it previously flew to.

Next Step for New Generation Interislander Ferries

May 28, 2020 / WIL BALDWIN

KiwiRail is taking the next step to procure a new generation of Cook Strait ferries which will increase the capacity on this vital transport link, and increase its resilience.

A Request for Proposal (RFP) to find a preferred shipyard to build two new ships for the Interislander is being issued today, the next step in the procurement process.

“The new ships will strengthen and enhance the vital transport link between the North and South Islands and represent a once-in-a-generation opportunity to transform the Cook Strait crossing,” Group Chief Executive Greg Miller says. The ferries are extensions of State Highway 1 and the Main Trunk Line across Cook Strait, linking road and rail networks between the two islands.

Currently, Interislander operates a fleet of three ferries, moving some 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year.

The $400 million contribution in Budget 2020 has enabled KiwiRail to go out to international tender to build the new ships, which are intended to arrive for service in 2024 and 2025. When the ferries are delivered, it will be over 25 years since New Zealand last introduced a brand-new purpose-built ferry to its fleet.

The $400 million towards the ferries and KiwiRail’s infrastructure at the ports in Wellington and Picton builds upon a $35 million-dollar investment in last year’s Budget for ferry design and procurement work.

The two new ferries will be technologically advanced, have significantly lower emissions, a greater carrying capacity – including rail wagons – and provide an enhanced visitor experience, Mr Miller says.

“On behalf of New Zealanders, we are grateful to the Government for enabling this acquisition,” says Mr Miller. “It is exciting to issue this RFP, to move the project forward and to find a shipyard to partner with KiwiRail to deliver the ships to our specifications, quality and timeline requirements.”

“Only overseas shipyards have the ability to build ferries of the size and standard needed for the Cook Strait. However, the project also involves new infrastructure including terminals, linkspans, and marshalling yards which will create numerous Kiwi jobs in Picton and Wellington. Community engagement has already begun in Picton for the proposed new terminal there.

“We are engaging our Interislander staff in the design of the ferries to ensure the ships are not only great for passengers, but also for those who work on them.

“Our new ferries and the associated port infrastructure will provide greater resilience for this crucial link that unites our country and will serve New Zealand for the next generation and beyond.”

Kiwi Rail Plans $1.2 Billion Investment to Rebuild New Zealand

May 18, 2020 / WIL BALDWIN

The Government’s $1.2 billion rail investment in Budget 2020 will help KiwiRail attract more customers and get more freight on rail, KiwiRail Group Chief Executive Greg Miller says.

Building on the Government’s $1 billion investment in Budget 2019, this second round of funding includes $400 million towards replacing the aging Interislander ferries and $421 million to continue the replacement programme for some of KiwiRail’s oldest locomotives.

The funding also includes $246 million, plus a $148 million top up of the National Land Transport Fund, towards ensuring New Zealand’s rail network, which includes more than 3000km of track, more than 1000 bridges and nearly 100 tunnels, is reliable and resilient.

“I welcome this substantial funding, which is another major boost for rail in New Zealand. For our customers this investment sends a clear signal that rail has a big future and gives them the confidence to get on board,” Mr Miller says.

“Our customers want to make greater use of rail and we’re seeing more road operators reach out for our support as their networks contract. We’re here to help them.”

“The Government’s investment allows us to continue with our locomotive replacement programme and raise the standard of our rail lines, bridges and tunnels across the country. This will enable KiwiRail to offer better and more reliable train services for our customers, and move more of New Zealand’s growing freight task onto rail.

“This funding recognises that rail has a greater role to play in New Zealand’s transport sector, and that it can make a valuable contribution towards lowering our transport emissions, reducing road congestion and saving in road maintenance costs – which benefits our nation as a whole.

Fifteen new Gen 2.3 DL locomotives depart KiwiRail’s Mt Maunganui yard, shortly after arriving at the Port of Tauranga, in 2018.

“The range of track renewal and facility upgrades we are planning will also support our workforce of almost 4000, as well as numerous civil contractors and material supply businesses across the country.”

“I’m very grateful to the Government for this level of support and I know that KiwiRail’s customers will be pleased by this demonstration of our shareholder’s commitment to rail.”

Mr Miller says the $400 million contribution to replacing Interislander’s three aging ferries and necessary landside infrastructure highlights how important the ferry connection is to New Zealand.

“Our Cook Strait ferries are an extension of State Highway 1, moving 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year.

“They are a must have for NZ Inc. The two new rail-enabled ferries will be more advanced, have significantly lower emissions and last for the next 30 years.

“This is a once-in-a generation investment and I am thankful for the Government’s support. It gives us the security to go out to international tender to build the ships, which we hope to see arriving on our shores in 2024 and 2025.”

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