Source: New Zealand Government
Air connectivity to Stewart Island has been boosted with a Regional Infrastructure Fund loan to the island’s sole airline, Associate Regional Development Minister Mark Patterson says.
“This initiative continues the Government’s commitment to strengthen regional air services and support the vital economic and social benefits regional airlines bring to some of our most remote communities,” Mr Patterson says.
A $640,000 loan to South East Air, owner of aircraft operated by Stewart Island Flights, will support the refurbishment and return to service of an aircraft it owns – boosting the fleet from four to five aircraft.
“This loan means the airline will be able to better meet peak season demand and scheduled services can continue when aircraft maintenance is prolonged by unforeseen delays.
“It will also support island residents’ access to healthcare services and education, boost response times in an emergency, and help drive Stewart Island’s tourism, trade and general business activity.”
The loan to South East Air is part of a $30 million Regional Infrastructure Fund (RIF) package developed in 2025 to support vulnerable regional air services.
The regional air connectivity package is designed to help regional passenger airlines manage debt, maintain their fleets, and continue operating the routes important for the wellbeing, resilience and economies of regional communities.
“This loan will shore up a vital connection for Stewart Island to the mainland, particularly with ongoing higher fuel costs continuing to have an impact on the aviation sector,” Mr Patterson says.
“Having viable regional airlines is an important part of ensuring the communities in our regions have the best chance to thrive.”
Original source: https://nz.mil-osi.com/2026/09/08/stewart-island-air-service-boosted-by-rif-loan/