CONTRARY to the claims that open skies is welcome in many countries, the Civil Aeronautics Board (CAB) has disputed that it is freely embraced as part of their national aviation policies.

Lawyer Carmelo Arcilla, CAB executive director, during the aviation forum at the Asian Institute of Management sponsored by the Philippine Chamber of Commerce and Industry, said countries in general liberalize at varying paces suitable to their respective needs, on a case-to-case basis within the bilateral and multilateral framework.

Open skies proponents, like the Freedom to Fly Coalition, have claimed that many countries now are reportedly openly advocating for open skies to justify the coalition’s attempt to pressure the Philippine government into declaring a pocket open skies policy in Clark, Cebu and other places.

Arcilla said generally, economically developed countries with very low population base like Dubai, Bahrain and Singapore tend to strongly advocate for open skies because they have practically no market to open.

“On the other hand, an open skies regime will allow their strong carriers to access foreign markets and feed their hubs,” he said.

He said another category of countries that strongly advocate for open skies are large nations with well-developed economics and dominant carriers that stand to benefit from an open skies regime.

“One more category of countries that readily embrace open skies are those with marginal economies, small markets and insignificant international aviation industry to chance upon the possibility of reaping dividends in an open aviation regime,” he emphasized.

To dispute that the countries cited by open skies advocates are freely embracing open skies, the CAB head revealed the following information:

§          China’s open skies policy only applies to Hainan Island, not the entire country. However, the grant of rights to this destination is within the bilateral or multilateral framework. Overall, China’s aviation liberalization policy is incremental and selective.

§          Vietnam’s liberalized policy for selected provinces is implemented on a bilateral and reciprocal basis.

§          Cambodia’s open skies at Siem Riep applies only to charter flights but with no 5th freedom privileges.

§          Singapore’s open skies policy is based on strict reciprocity and exchanges of traffic rights through bilateral or multilateral negotiations and subject to market demand.

§          India’s so-called open skies policy grants unilateral privileges only for cargo services but sets limits on foreign carriers’ passenger services.

§          The United Arab Emirates now requires reciprocal rights in bilateral negotiations that enforce capacity restrictions.

§          Hong Kong’s so-called liberal policy just recently rejected Cebu Pacific’s application for charter flights between Clark and Hong Kong. This is notwithstanding the fact that the Philippines has granted Hong Kong carriers liberal rights between Hong Kong and Clark.

Arcilla said the CAB is supporting progressive liberalization as this policy enhances competition, investments and market opportunities without unduly and severely curtailing the rights of national carriers to equal opportunity and fair competition.

“The Philippines is pursuing a national and progressive approach to liberalization through the expansion of traffic rights in existing air services agreements, liberalization of charter services, creation of pocket open skies or liberalized hubs and active participation in regional and multilateral liberalization initiatives,” he said.      

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