No new plane seats between AUS and PH

Its interesting the recent talks between Australia and the Philippines on getting increased access of travel via new plane seats for Philippine airline providers (PAL, Cebu Pacific) stalled. I hope its not be due to business pressure on the Australian counterparts with Qantas under deep financial contraints. The same situation when Singapore tried to do the same with Australia previously.

 

From BusinessWorld Philippines

August 30, 2012

Air talks with Australia ends without new seats

THE PHILIPPINES and Australia ended their commercial air service talks on Wednesday night, with both negotiating panels agreeing to just expand air rights once existing seat entitlements are fully allocated, an official of the Civil Aeronautics Board (CAB) said.

The result of Aug. 28-29 air talks in Pasay City follows an inconclusive negotiations with Singapore two weeks ago.

“The parties undertook to consider to add more [rights] if [all] entitlements are allocated,” Mr. Arcilla told BusinessWorld in an interview after the talks, but he did not elaborate.

The Philippines has a 3,000 seat entitlements for flights between the county (Manila and Clark) and Australia (Sydney, Melbourne, Brisbane and Perth), which may be expanded up to a 6,000-ceiling through a “trigger mechanism,” Mr. Arcilla said, referring to an option to add an additional 1,000 seats if needed. The regulator has so far allocated a total of 4,454 seats to Australia, of which 3,194 were given to flag carrier Philippine Airlines and 1,260 granted to Cebu Pacific, CAB records show.

Meanwhile, Mr. Arcilla said the both panels are eyeing to “talk again after six months” to talk about other matters. “In six months, we will talk again to talk about other issues like code-sharing and freedom on cargo…and about the issue on the fifth freedom,” Mr. Arcilla said.

Fifth freedom rights allow a carrier to pick up and disembark passengers to and from its second destination going to and coming from its third end destination.

Prior to this week’s air talks, the Philippines and Australia first negotiated in 2009.

Last Aug. 15-16, talks with Singapore were stalled, with both negotiating panel agreeing to talk “after six months,” due to “issues on freedom traffic rights.”

Earlier, the Philippines had successful air talks with South Korea. — Cliff Harvey C. Venzon

Article location : http://www.bworldonline.com/content.php?section=Economy&title=Air talks with Australia ends without new seats&id=57677

 

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