The reported plans come as Singapore Airlines, like the entire airline industry, has seen demand for air travel decline as a result of the coronavirus pandemic. That service was switched to Melbourne in 2018 but the link to the New Zealand capital has also been cut.
Singapore Airlines chief executive officer Goh Choon Phong said: "When the battle against Covid-19 began early this year, none of us could have predicted its devastating impact on the global aviation industry".
The decision is another blow to Canberra Airport, already reeling from the impacts of border closures.
Chief Minister Andrew Barr said the move was not surprising given the worldwide travel bans put in place by the Australian Government and the global collapse in tourism and the aviation sector.
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It is understood the airline is also looking to agree with the local Singapore Tourism Board to give interested passengers the chance to use local tourism credits given out by the government to pay for the flights.
According to sources, Singapore Airlines will soon be offering short flights that both take off from Changi and land in Changi. The airline will continue its codeshare arrangement to Wellington with Star Alliance partner Air New Zealand.
Speaking to the UK's "The Sunday Times", Singapore Air Charter director Stefan Wood said he was in touch with SIA regarding the initiation of a joint venture to allow the project to move forward using Airbus A-350 planes from SIA, although he now appears to be up against competition from the airline itself who have similar plans. "Given that the road to recovery will be long and fraught with uncertainty, we have to, unfortunately, implement involuntary staff reduction measures".
The SIA Group, which also includes regional arm SilkAir and budget carrier Scoot, is now flying 7 per cent of its pre-coronavirus capacity.