PAL urges gov’t to hold more air talks

National flag carrier Philippine Airlines (PAL), jointly owned by tobacco magnate Lucio Tan and diversified conglomerate San Miguel Corp. (SMC), is urging the Aquino administration to hold more air talks with bilateral trading partners as part of efforts to transform the Philippines as an international aviation hub.

PAL has reiterated its request to the Department of Transportation and Commu- nications (DOTC) seeking consideration of a list of bilateral partners wherein the Philippine Air Consultations and Air Negotiating Panel should hold air talks.

The national flag carrier urged the panel to hold talks with Italy, Brazil, France, Israel, South Africa, Russia, and Japan.

Since the entry of SMC with the infusion of $500 million in fresh equity, PAL has embarked on a major re-fleeting program involving the acquisition of 100 new aircraft in preparation for its improved long-haul operations.

It has entered into a contract worth close to $10 billion with EADS for the acquisition of 65 brand new Airbus A330 and Airbus A321 aircraft to be delivered starting this year. It is also expecting deliveries of more B777-330ERs from Boeing.

“PAL has embarked on a major multi-year expansion program to establish the Philippines as an international aviation hub with a strengthened global network of air services,” the airline said.

The airline is looking at Milan, Italy where it intends to use B777s or A330s but talks are needed as the Italian government does not grant access to Milan or any points outside Rome.

It added that talks are also necessary for Brazil that has untapped potential given its enormous population of 195 million and is fast becoming an emerging economy as well as France wherein the 1989 bilateral treaty needs to be renegotiated.

PAL also stressed the need to renegotiate the 1951-era Philippine-Israel air agreement as the country serves as the hub of the Holy Land and is an important pilgrimage and tourist destination.

The airline also asked the government to convince Japan to lift their ongoing ban on additional charter and regular flights by Philippine carriers and at the same time secure new rights and slots to the Tokyo Haneda and Narita airports.