Avolon to lease Beta Alia aircraft to Air New Zealand
Global aviation finance company Avolon is to assist Air New Zealand achieve its electric cargo aircraft aspirations, with both parties signing a letter of intent for a sale and leaseback of a Beta Technologies Alia CX300 – due for delivery in 2026.
Able to carry up to 650kg of cargo per flight, the conventional take-off and landing (CTOL) electric Alia CX300 will be used by Air New Zealand to carry cargo between Wellington and Blenheim through its partnership with New Zealand Post.
The partnership between the flag carrier and Beta Technologies was first announced in 2023, with Air New Zealand selecting the CTOL variant as the first platform for its ‘Mission Next Gen Aircraft’ programme. “By flying the Alia, we hope to advance our knowledge and transformation needed in the aviation system in Aotearoa for us to fly larger, fleet replacing, next generation aircraft from 2030,” highlighted Air New Zealand CEO Greg Foran at the time.
Highlighting the role financing has to play in supporting the introduction of new technology into the aviation sector, “while only a small trial, it will allow us to understand what the financing of this programme could like in the future,” explained Air New Zealand chief financial officer Richard Thomson. Avolon CEO Andy Cronin concurred that “lessors have an important role to play in supporting the commercialisation of clean tech aircraft to help the aviation sector achieve its net zero ambitions”.
Ahead of the cargo operation planned to commence in 2026, Air New Zealand is to operate an initial demonstrator aircraft from April 2025. In December 2024, Beta founder and CEO Kyle Clark detailed that this “Tech Demonstrator and chargers will allow [the company] to collect data and refine the operations so Air New Zealand can hit the ground running”.
Alongside its firm order for one production aircraft, Air New Zealand has options for an additional two, and rights for a further 20.
