Air New Zealand and Virgin Australia are teaming up to explore options for locally produced biofuel that can fly their planes in a more environment friendly manner.

They have issued a "request for information" to the market to explore the prospects of locally-producing aviation biofuel.

Environment friendly fuel is a focus in many countries and according to Air New Zealand's chief flight operations and safety officer, Captain David Morgan; this move is a part of the carbon management program initiated by the airline.

Conditional to regulatory approvals, a partnership with Air New Zealand, Air China plans to include direct flights to Auckland daily from Beijing sometimes later in the year.

Today, the airlines released particulars related to the projected deal that could come into effect from December.

Ann Barbarich, a New Zealand pilot died after a few days of suffering a medical occurrence just after of landing a Dreamliner plane at an Australian airport.

The second model of Boeing's Dreamliner is touching the ground of New Zealand for the first time.

With competition increasing on Perth and Adelaide routes, a new front in the transtasman airline battle is opening up over summer.

Air New Zealand has had the Adelaide and Perth routes to itself for years even though the battle for passengers on services to the main eastern seaboard cities has been playing for ages. Air New Zealand is adding extra services to Perth, and opening a seasonal service from Christchurch.

There has been a drop in Air New Zealand's share price in the wake of the Government's 20 per cent sell-down as trading resumed today morning.

Since the Government insisted on a maximisation of kiwi ownership, which now stands at about 88% including the Crown's remaining 53% holding, overseas institutions were scaled the most.