Three Pacific island nations are finding it tough to maintain links with the outside world following cutbacks in air service.

On two of these islands the cutbacks have been by foreign carriers on which they depend. Niue, in the central South Pacific, is suffering because Polynesian Blue, the joint venture between Virgin Blue and Samoa’s Polynesian Airlines, decided not to continue Polynesian’s flights to Niue.

Polynesian is cutting back flights

Air New Zealand now provides travellers with their only air link with one weekly flight under a contract with Niue’s government.

Saipan, in the Northern Marianas, faces capacity cuts of more than 25% following decisions by Japan Airlines to pull out and Continental Micronesia to cut back. Saipan, located north of Guam, is a favourite vacation spot for Asians, but the low yield route is not a favourite with airlines. Scheduled capacity has been falling for years, and is now down 60% from its 1997 peak.

Continental Micronesia continues to offer some charters and promises more, but Saipan tourist officials are concerned about the low level of service. One response has been formation of a local charter carrier named Air Saipan, which hopes to launch flights between Saipan and Japan by March with two wet-leased Boeing 757s.

Nauru is the third island nation to suffer aviation woes. Unlike the others, its problems stem from its own airline. Nauru was once one of the world’s most wealthy nations per capita due to phosphate mining, but the phosphate ran out, funds were squandered, and the island is now financially strapped. After an unsuccessful court battle in Australia, Air Nauru’s only aircraft, a Boeing 737-400, was repossessed in December by Wells Fargo Bank, a security trustee for US Eximbank. ■

DAVID KNIBB / SEATTLE

Source: Airline Business