Air New Zealand (NZ, Auckland International) chief executive officer Nikhil Ravishankar has urged the country's major airports to cease providing "open-ended" financial incentives to rival Jetstar Airways (JQ, Melbourne Airport), arguing these deals unfairly disadvantage the national carrier.

Ravishankar contended in an interview with publication BusinessDesk that while temporary start-up discounts are standard, continuous subsidies on profitable trunk routes allow the Qantas (QF, Sydney Kingsford Smith) subsidiary to undercut prices, while not serving unprofitable but essential secondary routes.

He warned that this undermines Air New Zealand's ability to cross-subsidise essential regional connectivity, which he described as "critical infrastructure."

In response, the New Zealand Airports Association and Auckland International Airport dismissed the claims as "absurd," citing Air New Zealand's dominant 86% domestic market share. They maintained that incentives are critical for ensuring competition and lowering fares, suggesting the national carrier is deflecting from its own capacity constraints and high pricing.