The government should put in more safeguards in the implementing rules for the administration’s “open skies” policy, to ensure that local airlines can stay competitive against bigger foreign players.
Robert Lim Joseph, founding leader of several travel organizations and a co-convenor of the Fair Trade Alliance (FTA) headed by former Senator Wigberto Tañada, appealed to the government to amend the Implementing Rules and Regulations (IRR) of Executive Order (EO) 29 to specifically put in the word “reciprocity” for the protection of the local aviation
industry.
Joseph noted that Section 2.1 of the IRR proposes to offer landing rights to foreign airlines, including 5th freedom rights, “without restrictions on frequency, capacity and type of aircraft and other arrangements to and from any secondary gateway.”
However, Joseph said, the same provision did not mention or guarantee reciprocity or equal exchange of air rights to local carriers.
Joseph said the term “national interest” in the IRR could not guarantee protection to local carriers as it could be subject to different interpretations and the whims of those in the air panel.
“If the government’s intention is to boost tourism, why allow 5th freedom rights to foreign carriers since this entitlement will bring passengers out instead of into the Philippines,” Joseph said in a statement.
Fifth freedom is the right of an airline from one country to land in a second country, then pick up passengers and fly on to a third country where the passengers then disembark.
He expressed concern that the IRR, without a clear directive to government officials to seek reciprocity for local carriers during air talks, would be prone to abuse, specifically the grant of 5th freedom rights.
He said nothing would now stop the grant of 5th freedom rights to Singaporean or Malaysian airlines, which are among the biggest in the region, from Clark to the United States or any third country.
The government’s “open skies” policy was implemented earlier this year to liberalize the granting of flight rights to foreign airlines, with the aim of boosting the country’s international air traffic.