Newcastle-based Fly Pelican plans to start direct regular flights between Newcastle and Canberra in April, the airline announced on Thursday.
It will have been 16 months since travellers have been able to fly directly between the two hubs after Brindabella Airlines, the previous airline offering the route, went into receivership in December 2013.
Fly Pelican, an independent regional airline, operates a fleet of 19 seat British Aerospace Jetstream 32 aircraft.
The airline said the move is subject to regulatory approval, but is likely to commence on April 27.
Fly Pelican said there would be two return flights on weekdays and a return flight on Sunday afternoons.
Fly Pelican CEO, Paul Graham said with driving times between the cities at five or six hours, they were looking forward to reinstating the link.
"Our flights will have you at your destination in just over an hour with the option of returning home same day," he said.
Mr Graham said he expects the most demand to come from the RAAF base at Williamtown in Newcastle and from public servants commuting to Canberra.
"This service has a proven history and we are confident that it will be well supported," he said.