The Commerce Commission decided not to investigate the strategic alliance between Auckland International Airport Ltd and the Queenstown Airport Corporation because it was "unlikely to give rise to a substantial lessening of competition in a market".
Commerce Commission Enforcement general manager Kate Morrison said while the commission did not receive an application for "either clearance or authorisation" from Auckland Airport for the acquisition of a 24.99% shareholding in Queenstown Airport, the commission considered the acquisition as part of its surveillance programme.
The strategic alliance between the two parties was publicly announced on July 8 and soon after, Air New Zealand contacted the Commerce Commission, asking it to investigate on the grounds the alliance would lead to a substantial lessening of competition in a market.
However, Ms Morrison said the commission had previously defined regional markets for major airports and the competition between Auckland International Airport and Queenstown Airport "is likely to be minimal".
