Mark you Diaries - 18 August 2026 @ 6:30 pm - Ammo Room - Barracks Bar 141 Saint Hill St - Key Note Speaker Doug Tate CEO WDC
Pilot Academy – Another Question for the Independent Review
Whanganui ratepayers await with considerable interest the release of the independent report into the Commercial Pilot Academy.
Our enquiries suggest there are around a dozen organisations in New Zealand providing commercial pilot training. In recent years several have either closed or experienced serious financial difficulty. That raises an obvious question.
Why did the Whanganui District Council decide that owning and operating a commercial pilot academy was an appropriate investment for ratepayers?
The report will hopefully answer that.
However, another important question now arises.
The Academy still owns a fleet of approximately 18 aircraft. We understand the intention is to hold them until the market improves.
If that is the strategy, has the Council or the Academy prepared a detailed financial analysis to support it?
For each aircraft, has an assessment been completed showing:
• its current independent market value;
• the estimated sale value in 6, 12 and 24 months;
• monthly holding, storage and insurance costs;
• maintenance and preservation costs while it remains unsold;
• depreciation or expected appreciation;
• engine and component calendar-time costs;
• the opportunity cost of tying up ratepayer capital; and
• the future sale price required simply to break even.
Economic uncertainty remains high, and some analysts believe the effects of the current Middle East conflict could extend well into 2027. If aircraft values do not increase sufficiently, delaying their sale could cost ratepayers more than selling them today.
This is not a criticism of the decision. It is a question about the analysis behind the decision.
Ratepayers have every right to know whether the strategy to hold these aircraft is supported by robust financial modelling, or whether it is simply an assumption that prices will improve.
The independent report should help answer many questions. In the meantime, this is one that deserves a clear and transparent response.