PAL, CebuPac hit CAB for giving Emirates extra flights

MANILA, Philippines - Local airlines are up in arms over the decision of the Civil Aeronautics Board (CAB) to allow Emirates to continue flying the Dubai-Manila-Dubai routes in excess of its maximum entitlement.

In a joint statement, national flag carrier Philippine Airlines Inc. (PAL) and PAL Express as well as budget airline Cebu Air Inc. (Cebu Pacific) and Tiger Airways Philippines said Section 3 of Executive Order 29 states that “the CAB may grant any foreign air carriers increases in frequencies and/or capacities in the country’s airports other than the Ninoy Aquino International Airport, subject to the conditions required by existing laws, rules and regulations.”

The EO issued by President Aquino states that “all grants of frequencies and/or capacities which shall be subject to the approval of the President shall operate as a waiver by the Philippines of the restrictions on frequencies and capacities under the relevant air service agreement.”

The airlines added that Philippine carriers are capable of immediately mounting direct flights to the United Arab Emirates.

“Indeed we are operating these flights to Dubai and Abu Dhabi today. We look to the CAB to work with the Philippine air carriers in growing the Philippine aviation industry and to allow us to compete with foreign carriers in a level playing field,” the carriers said.

The CAB has granted Emirates another 30 days or until Dec. 26 to operate seven weekly flights on the said routes after the first 30-day extension given to the airline expired last Nov. 26.

“We believe that the grant of these unwarranted extra flights to Middle Eastern carriers distorts competition and undermines the investments of Philippine air carriers in building a truly competitive air route to the UAE,” the joint statement read.

They argued that Emirates’ request for unwarranted extra flights to Manila is unnecessary as EO 29 allows foreign carriers to operate unlimited flights to Clark, Cebu and other airports in the Philippines.

“If Emirates truly wants to expand its service into the Philippines, it has every opportunity to put up new flights to Clark, Cebu or other Philippine international airports outside of Manila,” they said.

According to the airlines, UAE carriers including Emirates should not be allowed to operate more than 28 frequencies which is the same number allowed for Philippine carriers.