OPINION: Get out the popcorn, because the stoush between Air New Zealand and Auckland Airport has escalated - dramatically.
The national carrier has publicly floated the idea of flying some domestic routes out of Auckland's military base, Whenuapai Airport, in a move which can only be described as extraordinary.
The airline's Chief Executive didn't stop there. He lobbed another grenade at our national gateway saying "once customers get to Auckland Airport, their experience there is well below the standard they expect for the main entry point into our nation's largest city."
So, what's this all about? One of the significant issues is landing fees; a charge for airlines to use their facilities. Airlines have long argued the airport acts in a monopolistic way; that prices are too high, and infrastructure is inadequate
Earlier this year, after a Commerce Commission investigation into the issue, the airport agreed to reduce landing charges by $33 million over five years.
The airlines have a point. Auckland Airport should have a second runway, right now. It's been talked about since the 1960s. Earthworks even began on a second runway back in 2007. Now, it's hoped to be open by 2028.
Auckland's domestic terminal looks like a zoo on Monday mornings - with long queues often snaking through security all the way back towards the food court.
It's also a matter of competition. I recently wrote about how New Zealand has one of the lowest penetration rates of low-cost carriersanywhere in Asia. I guarantee a second airport would attract them.
The airport is investing big, in the process of spending $2 billion to upgrade facilities. But airlines think that's too little too late.
So, how serious is this proposal? It's of course posturing; Air New Zealand is out to get the public onside to put even more pressure on the airport to offer airlines a better deal. Talking about the idea, before a proposal has been officially put to the government, suggests the airline will use the threat of pursuing a second airport as leverage in negotiations over landing fees.
The timing is also significant. The government is currently reviewing all airbases, including the possibility of leaving Whenuapai. Now is the time to argue for its survival and use as a second airport.
The airbase is rundown, and any expansion would face massive opposition from locals. It's a long road, that Luxon knows is - at best - a remote possibility.
But don't underestimate the outgoing Air New Zealand boss. Luxon could be an MP in the National Party in the next few years. That would make Auckland Airport anxious, because a National-led Government with Luxon in a high place would likely consider the issue. Remember, the government is still a majority shareholder in Air New Zealand, so Luxon's interest in the airline would extend into politics.
This government seems less than excited, with Defence Minister Ron Mark calling the idea "half-baked."
Minister, what's really half-baked is not having airport competition, which has led to under-investment and higher prices for passengers.
What's also half baked is having a prime Auckland asset like Whenuapai sit there with just 13 defence planes using it. It's either a fully functioning airport, or it isn't.
A second commercial airport would be a gamechanger, but at the very least, Air New Zealand is using every tactic it can to limit future price hikes at Auckland Airport. And that's good news for passengers, because prices increases are inevitably passed on to us - the travelling public.
