Bay of Plenty airline Sunair will receive a $2.08 million Government loan to help fund new aircraft, maintain its fleet and refinance debt.
Announced by Regional Development Minister Shane Jones and Associate Transport Minister James Meager, the loan comes through the Government’s Regional Infrastructure Fund and could be used to buy two larger aircraft, carry out essential maintenance and refinance debt. The larger aircraft would increase capacity and flexibility, reducing reliance on the airline’s current six-seat planes.
Jones said airlines such as Sunair were a critical part of regional communities, helping businesses grow, improving access to health and education services, supporting tourism and strengthening resilience.
Meager said the funding would help preserve regional connections that might not be commercially viable for larger operators, describing Sunair’s services as a vital lifeline for towns such as Wairoa, Whitianga and Whakatāne.
The loan forms part of a $30 million regional air connectivity package established in 2025, which has also supported Air Chathams, Sounds Air, Island Air, Golden Bay Air and Stewart Island Flights. It comes less than a year after the Civil Aviation Authority restored Sunair’s certification following a grounding of more than four months over maintenance and safety concerns.
Sunair owner Dan Power said he was pleased with the approval, noting that cost pressures since Covid and a sluggish economy had made affordable air transport challenging. He said the funds would go towards fleet upgrades to improve all-weather capability and reliability, and that Sunair looked forward to continuing the regional service it had offered for 35 years.