Qantas CEO Alan Joyce announces Jetstar is to fly to New Zealand's regional centres.
Jetstar says regional fares could be slashed by 40 per cent when its breaks Air New Zealand monopoly on the routes at the end of the year.
Jetstar, which is the budget arm of Qantas, announced on Thursday it would begin flying to four regional centres using a fleet of five 50-seat Bombardier Q300 turbo-prop aircraft.
Regional fares will go on sale in September with the first flights taking off in early December.
Andrew Gorrie
Jetstar will add regional services to its existing main trunk jet routes. Hamilton, Rotorua, Napier, New Plymouth, Palmerston North, Nelson and Invercargill were all being considered as options.
Jetstar has also launched a social media campaign asking customers which regions they most want serviced and airline will go on a two month roadshow to determine which destinations to choose the winners.
Qantas chief executive Alan Joyce said Jetstar entering regional routes would bring much-needed competition and cheaper fares to those outside the country's main centres.
LAWRENCE SMITH/Stuff.co.nz