Air New Zealand is warning higher landing costs imposed by Dunedin Airport could bring an end to jet services into the city.
Most planes now flying into Dunedin are turbo prop aircraft, but there is usually at least one Boeing service a day, which almost halves travel time.
Air New Zealand has criticised the 78% rise in landing fees imposed in December last year, which is now filtering through to ticket prices.
The company says jets are put into Dunedin when the demand is sufficient, but if there is a loss of custom as a result of the price rise then it will have to match capacity with demand.
This could involve replacing jets with smaller turbo prop planes.