Airways chief executive stepping down

WELLINGTON: Airways chief executive Graeme Sumner has resigned after two tumultuous years for aviation and a big Uturn on sweeping plans to close control towers in regional centres.

Mr Sumner will finish on June 3 after five years at the top of the state agency.

‘‘In announcing the resignation, the board noted that over the past five years Graeme had led Airways through some of the most challenging times we have ever experienced and thanked him for his contribution to Airways,’’ a spokesman said.

Chief financial officer James Young will be acting chief executive while the board searches for a replacement for Mr Sumner.

Mr Sumner started with Airways in 2017, then the highly profitable monopoly provider of air traffic control services.

Before the pandemic, he was driving changes to increase digitisation and automation at the state agency.

Soon after Covid19 hit, Airways in May 2020 proposed removing air traffic control services at Hawke’s Bay, Gisborne, New Plymouth, Rotorua and Invercargill airports and withdrawing flight information services at Kapiti Airport and Milford Sound’s Piopiotahi Aerodrome. It said control of flights could be done from bigger centres.

Aeronautical studies — which include safety — were undertaken and so far have resulted in a reversal on the decision to close towers at Hawke’s Bay, Rotorua, New Plymouth and Invercargill. The aerodrome flight information service is staying there.

The plans have been fought by the New Zealand Air Line Pilots’ Association,which has cited safety worries.

In the early peak of the Covid19 crisis, Airways announced the review of its services around the country, saying it was ‘‘simply not viable to continue the same level of service at locations where there are no passenger flights’’.

Last year it reported an $18 million aftertax loss.

Mr Sumner joined Airways in October 2017, bringing 27 years’ experience from the energy, transport, telecommunications, mining services and medical technology industries.

Airways said he was recognised for his commercial experience and ‘‘extensive expertise in leadership, technology, and change management’’.

Before the Airways job, Mr Sumner led ASXlisted organisations in services and manufacturing environments focused on technology innovation and development.

His roles included: chairman of transtasman firm NCI Packaging; managing director of Service Stream, based in Melbourne; and chief executive of Transfield Services NZ and Siemens NZ.

Airways has just launched consultation with its stakeholders, customers and the wider industry on its pricing for the next threeyearly cycle running from August 1 this year to June 30, 2025. — The