Transport Minister Gerry Brownlee has authorised a Master Coordination Agreement between Qantas and Emirates, opening the way to shared services between the airlines on trans-Tasman routes.

Under the alliance the two airlines will work together on the services and fares they offer.

In approving the Master Coordination Agreement under Part 9 of the Civil Aviation Act 1990, Mr Brownlee said that the alliance would bring benefits to airline passengers, exporters and the tourism sector.

“Exporters and travellers will benefit from strengthened connections with Emirates’ international network, including 30 points in Europe, as well as the growing Middle East region and Africa", said Mr Brownlee.

Trans-Tasman competition will be maintained through existing carriers on the route and the threat of entry by new carriers. Conditions imposed by the Australian Competition and Consumer Commission require the airlines to maintain at least their pre-alliance aggregate capacity, subject to a review to consider whether increases in the minimum required capacity are warranted.

The authorisation is limited to a five-year period, after which the alliance application will need to be resubmitted for further authorisation.

Read Minister Brownlee's media statement on the authorisation(external link).

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