RP ready to discuss open skies policy with ASEAN

CEBU, Philippines - The Philippines is taking positive steps towards the signing of the open skies policy with the Southeast Asian Nation (ASEAN) member countries.

Department of Tourism (DOT) recently announced that it is ready for open skies discussion with ASEAN and this could finally lead to the signing of the policy around April this year.

“We are taking positive steps towards the signing of the agreement, as the benefits of air space liberalization for the country signal a region-wide increase in cooperation and tourism activity,” Tourism Secretary Ace Durano noted.

Under the ASEAN agenda, which covers economic recovery plan until 2015, the open skies pact focuses on the liberalization of air space between member countries, including the lifting of tariffs and other add-on costs. This new agreement will allow regional air carriers to make unlimited flights among the group's 10 capital cities. For the Philippines, this entices more airlines to land in the country, increasing flights and providing more options for passengers.

The move promises to re-energize the stalled 2003 ASEAN open-skies framework, which includes phased plans for liberalizing intra-ASEAN freight and passenger air services by 2015. Industry analysts are convinced the deal also promises to boost regional tourism, trade, and aviation-related investments.

“The sealing of this deal strengthens not only tourism but more so, economic relations between the country and our ASEAN counterparts. We see this as a welcome development, contributing to the growth of the airline industry through increased availability for more passengers,” said Durano.

Undersecretary for Tourism Planning and Promotions Eduardo Jarque, Jr. said for his part said “Our neighbors in the region have seen the benefits of the open skies agreement, and we hope to replicate the same success here in the country.”

Those clear economic benefits are evident in the country’s ASEAN counterparts. In Malaysia, their government decided to support a further restructuring of its domestic air services, including support for their local carriers.   The success of their budget carriers has launched a veritable explosion of new low-cost carriers across the region.

On the other hand, Singapore currently has the most liberalized aviation sector in region. In recent years, air-travel-related services have contributed as much as 9.2 percent to the island state's gross domestic product, a National University of Singapore report said.

In 2004, Singapore inked ASEAN's only open-skies agreement, with Brunei and Thailand, which allowed for unlimited flights among the three countries.

These examples with Malaysia and Singapore show that other ASEAN countries could achieve similar growth.

“The liberalization of air policies in the country would help increase tourism activities within and to the Philippines, and this is always a beneficial thing as it allows for improved accessibility and more affordable flights,” Jarque said.