More air travel chaos while tourists are stranded in Vanuatu after the country's national airline cancelled international flights for four days, as the Vanuatu government considers putting it into voluntary administration.
Air Vanuatu also confirmed in a statement on Thursday afternoon all international flights until Sunday were cancelled, and flights after that day are "under review".
This sudden development comes after the recent collapse of domestic budget airline Bonza, that brought a lot of promise in a Ryanair style operation.
The first Bonza aircraft, named as "Bruce", already left Australia on Thursday as the lessors of the budget carrier’s planes “enforces its right” to repossess the fleet.
The aircraft left Sunshine Coast Airport early on Thursday, bound for a refuelling stop in Honolulu before continuing to an unknown destination.
Just hours later, Brisbane Airport reportedly confirmed that passengers scheduled to fly with Air Vanuatu that they would not be be taking off.
According to the carrier’s website, which also displayed all Sydney flights grounded for several days, “extended maintenance requirements” were behind the grounding. Brisbane and Auckland flights had similar cancellations.
Local media in Vanuatu reported this week that Air Vanuatu board chairman Alain Lew had said the board “no longer exists since the appointment of an administrator”.
"Last year, international services were plagued by unreliability on the airline’s sole 737-800, the eight-year-old aircraft numbered YJ-AV8."
Later on Thursday, the airline confirmed Ernst & Young had been appointed to assist the Vanuatu government further.
“The Vanuatu government is now considering placing Air Vanuatu, the national carrier of Vanuatu, into voluntary administration,” it said.
"The international firm Ernst & Young has been appointed to assist the Vanuatu government in reviewing available options and put forward recommendations to the Vanuatu government."
The Department of Foreign Affairs and Trade updated its advice to travellers this afternoon, warning that Air Vanuatu and codeshare partners had cancelled or rescheduled flights "for the coming days".
"If you're affected by these cancellations, contact the airline, your travel agent or insurance company about rescheduling flights," it said on its Smartraveller website.
Talking about the fleet, Air Vanuatu has a single narrow body Boeing 737-800 aircraft for the international flights and a turboprop for domestic flights. Airlines was engaged in international route sharing with partner Solomon Airlines since the end of March.
The carrier has been grappling with issues affecting its services including flight delays and cancellations, and its Boeing 737 has been in maintenance for extended periods.
Earlier this year, the airline’s board of directors failed in a court appeal over unresolved financial obligations. The airline had been embroiled in a long-running court case with the owners of its aircraft since 2009 over leasing terms.
In February this year, the company was ordered to pay aircraft leasing company Isleno damages in the order of VT$150 million ($2m).
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