Government urged to insert 'reciprocity' in EO 29 implementing rules

MANILA, Philippines – A travel industry leader appealed to the government yesterday to amend the Implementing Rules and Regulations (IRR) of Executive Order 29 to specifically insert the word “reciprocity” for the protection of the local aviation industry.

Robert Lim Joseph, founding leader of several travel organizations and a co-convenor of the Fair Trade Alliance (FTA) headed by former Sen. Wigberto Tanada, noted that Section 2.1 of the IRR proposes to offer landing rights to foreign airlines, including fifth 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 mention or guarantee reciprocity or equal exchange of air rights to local carriers. 

He said the one-sided IRR will harm the local aviation industry.

Joseph expressed concern that the IRR, absent a clear directive to government officials to seek reciprocity for local carriers during air talks, would be prone to abuse, specifically the grant of fifth freedom rights.

He said nothing will now stop the grant of fifth freedom rights to, say, Singapore Airlines or Malaysia Airlines from Clark to the United States or any third country. Fifth freedom is the right of an airline from one country to land in a second country, pick up passengers and fly on to a third country where the passengers then disembark.

“If the government’s intention is to boost tourism, why allow fifth freedom rights to foreign carriers since this entitlement will bring passengers out instead of into the Philippines,” Joseph said. “Fifth freedom has nothing to do with inbound traffic,” he added.

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.

EO 29 was issued by President Aquino on March 14, 2011 supposedly to boost tourism and investment by declaring pocket open skies in airports outside of Metro Manila.