Rotorua Airport and Airways New Zealand have reached a commercial agreement that will see existing aerodrome control services retained until May 2021.

According to a statement, airport management is carrying out an aeronautical study for the Civil Aviation Authority to determine what aerodrome control services are required for Rotorua.

Depending on the outcome of the study, Airways and the airport may enter new commercial negotiations to determine if Airways will provide a future service and how it will be funded.

'We're glad we have been able to reach an agreement that provides certainty for the airport and our people as we move through the process to determine what the future of our services provided at Rotorua Airport will be,” Airways chief executive Graeme Sumner says.

Rotorua Airport chief executive, Mark Gibb says a key objective of arbitration was to allow the Airport to undertake an aeronautical study to fully understand the requirements for air control services in Rotorua, to inform future decisions.

'We are pleased to be able to move forward with Airways,” says Mark.

'This is the right outcome for everyone involved and will ensure the safety of our travellers.”

The agreement ends the arbitration process Airways and Rotorua Airport entered into when Airways announced its intention to change services.

Legal restrictions and commercial sensitivities mean further detail about the agreement cannot be shared at this time.

Rotorua Mayor Steve Chadwick says news of the agreement is great for Rotorua.

'This is really good news for our district and will provide the time needed to assess and determine what happens in future," she says.

'Our airport has a key role to play in our economic recovery, and I thank Airways for listening to Rotorua's concerns, and for enabling us the time to work this through to ensure we get the right outcome for our district.”