Pacific Air Charters Competes for Lanai City EAS Contract in Hawaii

Pacific Air Charters, a Hawaii-based airline headquartered in Honolulu, has thrown its hat into the ring for the essential air services (EAS) contract to Lanai City, signaling its readiness to enhance air connectivity in the region. In response to a request for proposal from the United States Department of Transportation (DOT), Pacific Air Charters has outlined comprehensive plans to operate multiple daily roundtrip flights between Lanai City, Honolulu, and Kahului (Maui), offering travelers increased options and convenience.

The airline proposes to utilize nine-passenger Tecnam P2012 aircraft to execute its proposed schedule, ensuring compliance with EAS requirements while maximizing passenger capacity and service reliability. Pacific Air Charters has submitted two alternative proposals to the DOT, each designed to meet the needs of the local community and enhance air travel accessibility:

  1. Six daily roundtrip flights to Honolulu and three daily flights to Kahului, providing a total of 81 daily seats in each direction.
  2. Seven daily roundtrip flights to Honolulu and two daily flights to Kahului, also offering 81 seats in each direction.

These proposals aim to optimize flight frequency and capacity while ensuring efficient utilization of resources to meet passenger demand effectively. By offering competitive ticket prices and a high-quality passenger experience, Pacific Air Charters seeks to position itself as the preferred EAS provider for travelers to and from Lanai City.

The competition for the EAS contract in Lanai City is fierce, with Southern Airways Express, operating as Mokulele Airlines, also vying for the opportunity to serve the community. Despite initial indications of discontinuation of services due to rising costs and stagnant demand, Mokulele Airlines has submitted a fresh application, intensifying the competition for the coveted contract.

Pacific Air Charters, as a Part 135 airline, has demonstrated its commitment to meeting the stringent regulatory requirements for scheduled intrastate commuter flights. The airline’s proposed schedules, involving 6,570 annual departures and 4,566 block hours, are projected to serve approximately 44,106 passengers annually, assuming a 75% load factor and an average ticket price of USD108.

In its proposal, Pacific Air Charters anticipates an annual loss after operating costs, with requests for an annual subsidy ranging from USD8,115,418 to USD8,192,164, depending on the selected flight option. CEO Marshall Ashley expressed confidence in the airline’s ability to deliver superior air services to Lanai City, emphasizing its commitment to meeting the DOT’s selection criteria and prioritizing passenger satisfaction.

As the DOT evaluates competing proposals, the residents and travelers of Lanai City can look forward to enhanced air connectivity and improved access to essential services. With a focus on consumer benefits and operational excellence, Pacific Air Charters aims to secure the EAS contract and contribute to the continued development and prosperity of the Lanai City community.

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