Monday 6 February 2012

Local AirAsia unit set to bag key permit


“It (the permit) is tentatively scheduled to be given to AirAsia on Monday,” Ramon S. Gutierrez, Civil Aviation Authority of the Philippines (CAAP) director-general, told BusinessWorld in a telephone interview on Friday, referring to the air operator certificate.
The carrier, a joint venture between the Malaysian-based carrier, which owns 40%, and Philippine businessmen Ms. Hontiveros, Antonio O. Cojuangco III, and Michael L. Romero, had planned to commence operations as early as October last year but failed to do so, pending the receipt of the necessary permits from regulators.
AirAsia Philippines in August last year had already received a temporary operating permit from the Civil Aeronautics Board, however, the carrier had yet to receive the air operator certificate.
The application process takes a long process as airlines are required to submit data on its aircraft, proposed initial training for crew, documentation of maintenance system, among others, Mr. Gutierrez explained.
CAAP had to review the documents submitted as well as conduct an inspection of the airline’s facility as part of the process for granting an air operator certificate, he added.
“Now we have already scheduled granting the approval to AirAsia,” Mr. Gutierrez said.
AirAsia Philippines declined to comment pending actual receipt of the permit.
But it has slated a briefing with the press today for the announcement.
The firm’s entry poses competition to local carriers Cebu Air, Inc. and Philippine Airlines which likewise operate routes from the Philippines to elsewhere in the region.
Last year, the carrier’s first aircraft, a 180-seater Airbus A320, arrived at its hub in Clark.
Its second aircraft, meanwhile, was delivered later in 2011.
Marianne B. Hontiveros, chief executive officer, had said then that the carrier plans to use the first plane to fly to Singapore, Hong Kong and Macau.
Aside from the three international destinations, the carrier plans to fly to Kalibo in Aklan province, Puerto Princesa in Palawan province, Incheon in South Korea, and Bangkok in Thailand.
In the last quarter of 2011, AirAsia Philippines had been granted rights by the CAB to Malaysia, Cambodia, and Japan.
The carrier was granted 1,260 seats a week on the Clark to Kuala Lumpur route, CAB has previously said. It was also granted seven flights per week on the Clark to Cambodia route.
Moreover, AirAsia Philippines was granted six flights per week that it can utilize either on the Clark-Osaka route or Clark-Nagoya route.
AirAsia Philippines, which hopes to have a fleet of 14 or more aircraft in about four years time from 2011, is expecting the delivery of another two aircraft this year, Ms. Hontiveros said.
The carrier unveiled plans for a $25-million capital expenditure in December 2010.
Its parent has been flying to the country since 2005 from Kuala Lumpur and Kota Kinabalu. -- Kathleen A. Martin

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