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Philippines

Airlines put off 10% hike in domestic fares
Source: Manila Bulletin
Author: Mario B. Casayuran
Date: 2002-03-19
 
Administration Sen. Noli de Castro, chairman of the Senate tourism committee, yesterday thanked the airline industry and air transport government agencies for heeding his request not to impose a 10 percent increase in the cost of domestic air travel.





De Castro said the Civil Aeronautics Board (CAB) confirmed that the airline industry yielded to his request for them to maintain their original fare rates "as they took into consideration the pulse of the people on this issue."





The senator particularly expressed his gratitude to the Department of Transportation and Communications (DoTC), the CAB and the domestic airline industry, particularly the Philippine Airlines, Cebu Pacific and Air Philippines, for heeding the clamor for an airfare rate rollback.





De Castro quoted CAB Deputy Executive Director Carmelo Arcilla as saying that they decided to take action after seeing the ill effects of the rate hike implemented last March 16.





One such negative effect, according to de Castro, was that many frequent passengers postponed their air travel this coming Holy Week.





"Sa ngalan ng ating mga kababayan na nangamba sa pagtaas ng pasahe sa eroplano, ngayong bakasyon, nais kong iparating ang lubos na pasasalamat at dininig ng mga kinauukulan ang ating kailangan na isang roll back. Salamat at pinakinggan ninyo ang boses ng bayan," de Castro said.





"Ito ay pagpapakita na kanilang nauunawaan ang hirap ng buhay ngayon. Mabigat sa bulsa ang ginawang pataas. Buti naman at napag-isipan ng mga local airlines na marami sa ating kababayan ang hindi makakauwi sa kanilang mga pamilya sa probinsya kung hindi naisaalang-alang ang kanilang kakayanang pinansyal," he added.





The former TV journalist noted that the domestic airline industry chose to perform their duty to serve the public rather than give in to their business considerations.





The domestic airline industry according to de Castro, should not worry of any losses because of their move to rollback their rates as this would inevitably result in increased passenger volume with more people deciding now to travel and pursue their vacation trips.





"Dito namin hinahangaan ang mga local airlines nating. They gave more importance to their duty to the riding public rather then take advantage of the peak season as any business entity would do," he said.





"Mabuti talaga ang magiging resulta ng rollback. This is not only a sign of championing the cause of the people but also a boon to the domestic tourism industry," he added.













PAL











The Philippine Airlines said yesterday it has again postponed to April 1 the increase in its domestic fares that was earlier authorized by the Civil Aeronautics Board (CAB).





The new rates were supposed to take effect for travel starting March 21.





The move was taken in response to the clamor from the tourism sector for relief from the airlines during the Lenten holiday break next week, one of the busiest travel periods of the year.





PAL made the decision as a gesture of support for the "tourism economics" policy of President Gloria Macapagal Arroyo. The flag carrier hopes the rollback will go a long way in stimulating domestic travel.





With the rollback, PAL will refund the fare difference to passengers who have been already ticketed with the deferred rates.





This is the second time that the airline has put off a fare adjustment. The first was on Oct. 16, 2001.





PAL deferred implementation of that rate hike so as not to unduly burden the riding public in the aftermath of the Sept. 11 US terror attacks.





The flag carrier revisited its petition with CAB earlier this year, and the regulatory agency approved it on Feb. 12.





PAL is the country's largest domestic carrier, with over 500 departures weekly to and from 18 points throughout the country.

 

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