Phl, Australia reset air talks

MANILA, Philippines – The Civil Aeronautics Board (CAB) yesterday said the Philippines and Australia have agreed to resume talks for additional flight entitlements after six months as less than half of the current seat entitlements are being utilized.

CAB executive director Carmelo Arcilla said in an interview that both countries agreed to resume talks after six months as less than half of the existing 6,000 seat entitlements per week are being utilized by local airlines.

Arcilla pointed out that Philippine Airlines (PAL) utilize about 2,590 seat entitlements per week while Cebu Air Inc. (Cebu Pacific) has yet to utilize its 1,260 seat entitlements.

He said that both Cebu Pacific and Zest Airways Inc. are seeking additional 3,000 seat entitlements to Australia.

During the meeting last Aug. 28 and 29, Arcilla revealed that the Australian government committed to grant an additional 3,000 seat entitlements per week once the existing 6,000 seat entitlements per week are fully utilized.

He added that the Australian government also disagreed on the fifth freedom rights proposed by the Philippines.

The fifth freedom, also referred to as beyond rights, allows an airline to carry revenue traffic between foreign countries as a part of services connecting the airline’s own country. It is the right to carry passengers from one’s own country to a second country and from that country to a third country.

“We did not yet agree in the mechanics on the extent of fifth freedom rights,” he added.

Earlier, the Philippines also failed to reach an agreement with Singapore due to issues involving the fifth freedom rights.

However, Arcilla said the Philippines and Singapore agreed to resume talks after six months.

The Philippines and South Korea agreed to amend the existing air service agreement last April by increasing entitlements to 28,500 seats per week to all points in the Philippines from 19,000 per week.

President Aquino has signed Executive Order 29 opening other airports in the Philippines aside from the Ninoy Aquino International Airport (NAIA) to more foreign traffic.