New Zealand Flight Academy to Shut Down in 2026

New Zealand – The Whanganui District Council has confirmed plans to close the New Zealand International Commercial Pilot Academy (NZICPA) by mid-2026, transferring its facilities and assets to New Zealand Airline Academy Ltd (NZAAL) under a long-term lease agreement valued at approximately NZD $829,000 per year.

• The transition marks the end of the council’s direct involvement in commercial pilot training after more than seven years of operation at Whanganui Airport, with NZAAL — already one of the country’s largest pilot training providers — set to take over management of the site and associated accommodation facilities beginning January 15, 2026.
• The council-owned NZICPA will continue operating until mid-2026 to allow existing cadets, including those from Indian airline IndiGo, to complete their training.
• NZAAL’s 10-year lease (with an optional 15-year extension) includes:
  • NZICPA’s hangar and flight school: NZD $219,996 + GST annually
  • College Estate accommodation: NZD $446,004 annually
  • Hato Hōhepa accommodation facility (former Nazareth rest home): NZD $162,996 annually
  • Once NZICPA completes its final student cohort, the council intends to liquidate aircraft, simulators, and other training assets, with proceeds used to recover a portion of the NZD $18.4 million invested in the business since its inception.

NZICPA was established in 2018 with the goal of creating local employment, supporting Whanganui Airport operations, and training international pilots. Despite initial optimism, the academy never achieved sustained profitability, suffering heavily during COVID-19 border closures when enrolments fell to just 19 students.

A NZD $10.3 million council-approved funding package in 2023 allowed NZICPA to fulfil its contract with IndiGo, but by late 2025, most of those funds had been used for aircraft purchases, operational costs, and working capital.

NZAAL, based in Oamaru, has been expanding rapidly to accommodate surging international pilot demand. The academy recently announced plans to train IndiGo cadets at its new Whanganui facility, complementing its existing Oamaru operations. Director Celroy Mascarenhas stated that NZAAL does not require NZICPA’s aircraft or simulators, and will establish its own fleet and infrastructure at Whanganui.

Source: Whanganui District Council; NZICPA; NZAAL