More competition in the regional air market is only months away.

Kiwi Regional Airlines, run by Hamilton City Councillor Ewan Wilson will be bypassing the three major centres when it kicks off in September, instead focusing on Dunedin, Queenstown, Nelson and Hamilton.

It will begin with one plane which will do a daily loop between the four destinations.

CEO Ewan Wilson says it will take a while to work out whether or not their regional operation is a fruitful one, but that he is confident the flights will be popular.

"18 to 24 months later I think we can probably look back and indicate that our market niche has been successful."

He wouldn't be drawn on prices, but indicated passengers on the flights between Dunedin and Queenstown can expect to pay between 120 and 150 dollars each way.

Nelson's mayor Rachel Reese is over the moon about the recent aviation interest in the city. She believes the discussion is happening at the perfect time.

"Nelson Airport Limited is just looking at developing new terminal facilities, so now is the right time to be having discussions with us...I'm sure the airline company will be working alongside these new players."

Hamilton's Mayor is also welcoming the prospect of more regional flights in and out of the city.

Mayor Julie Hardaker says the route isn't currently flown by a commercial airline and that it will be popular for visitors as well as the people of Hamilton.

"That's a new route out of Hamilton direct to Nelson and that opens up the South Island both for own our people but also for visitors."