The Civil Aviation Safety Authority has suspended a Northern Territory airline from operating passenger flights after two pilots failed to pass the qualification test.

Fly Tiwi’s licence was suspended this week when two senior pilots did not pass the flight safety test, ABC News reported.

Ordinarily flying passengers to the Tiwi Islands, the company’s managing director John Hardy said the pilots will redo the test later this week but until then passengers can either charter a plane to the islands or find an alternative option.

"I'm very hopeful that we will overcome this glitch soon by the end of the week or even sooner if we're lucky," Mr Hardy explained.