Gov’t Dangles Perks For Airlines In Mactan-Cebu Int’l Airport

MANILA, Philippines – The government is set to offer perks to airlines operating at Mactan-Cebu International Airport as part of efforts to decongest the Ninoy Aquino International Airport (NAIA).

Nigel Paul Villarete, general manager of the Mactan-Cebu International Airport Authority (MCIAA), said in a notice that it would conduct a public hearing on May 20 on the proposed incentive plan for landing and take-off fees at the country’s second busiest airport.

“MCIAA is cordially inviting the public, especially the air carrier concerned, to attend and participate in the public hearing to express their views on the matter,” Villarete said in the notice.

He also encouraged shareholders to submit position papers on the proposed incentives before or during the scheduled public hearing.

Under the proposal, MCIAA would extend rebates between 30 percent and 75 percent on landing and take-off charges for long-haul international routes as well as between 30 percent and 65 percent for short to medium-haul routes depending on the number of flights per week.

Likewise, MCIAA would grant rebates between 25 percent and 65 percent of landing and take-off fees for domestic routes depending on the frequency of flights per week.

There are currently 13 airlines led by Philippine Airlines Inc. (PAL) and budget airline Cebu Air Inc. (Cebu Pacific) operating at the Mactan Cebu International Airport.

Data showed an average of 154 commercial daily aircraft operation (landing and take-offs) at the Mactan Cebu International Airport.

MCIAA data showed that the number of domestic and international aircraft that landed and took off from the gateway declined by 13 percent to 56,281 last year from 64.945.

The volume of domestic and international passengers retreated 2.1 percent to 6.84 million last year from 6.99 million in 2013. The number of domestic passengers fell 3.9 percent to 5.16 million from 5.37 million while the number of international passengers decreased by 3.7 percent to 1.68 million from 1.62 million.

However, international passenger traffic grew by an average of 17 percent per year while domestic passenger traffic rose by an annual average of seven percent over the last 24 years.

Source: Lawrence Agcaoili, Philippine Star

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