Nauru's airline cooperates with Solomons as fuel price hikes bite

Updated at 1:50 pm on 25 June 2008

Nauru's national air carrier, Our Airline, says the recent code sharing agreement with Solomon Airlines is another step in the airline's overall plan to maintain viability in the midst of crippling fuel prices.

The agreement reached last week means Our Airline will provide twice weekly Honiara - Brisbane and return services for Solomon Airlines using its Boeing 737-300 aircraft.

The Our Airline general manager, Jim Bradfield, says all regional aviation operators are being forced to make difficult decisions based on economic reality rather than just on national pride and hope for better times ahead.

He says fuel prices are up 58 percent since July and 12 percent this month alone.

Mr Bradfield also says Our Airline has dropped its Nauru - Tarawa services this month.

He says until they can fly beyond Tarawa, the service is making a loss Nauru cannot afford.

Next story in Pacific: Fiji interim Attorney-General says New Zealand and Australia obsessed about election date