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Monday, February 04, 2008

 

Congress OK of Civil Aeronautics Administration bill seen this week

By Efren L. Danao Senior, Reporter

The House of Representatives and the Senate are expected to ratify this week the reconciled bill creating the Civil Aeronautics Administration of the Philippines—unless delayed by a leadership upheaval in the Lower House.

The bicameral body had reconciled last Tuesday the conflicting provisions of the House and Senate bills creating the Civil Aeronautics Administration (CAA), a new government corporation that will replace the Air Transport Office. The House abruptly adjourned Wednesday, preventing members of the House panel from signing the report. It will be submitted to the House and Senate plenary for ratification once all members of the bicameral panel have signed it.

Sen. Juan Ponce Enrile, chairman of the Senate Committee on Public Services and head of the Senate panel, said he is confident the aviation system in the country will get back its Category 1 rating from the US Federal Aviation Authority (FAA) once the bill becomes a law.

The FAA, in its January 8 report, listed the Philippines as among 21 countries that failed to provide safety oversight of its air carrier operators in accordance with the minimum safety oversight standards established by the International Civil Aviation Organization (ICAO) and downgraded it to Category 2. ICAO is a specialized agency of the United Nations created to promote safe and orderly development of international civil aviation.

Enrile said the FAA will have another meeting with Philippine aviation officials to reassess the condition of the local air transport system. However, he is not sure of the date of the meeting.

Nevertheless, he said he is confident the Philippines will soon regain Category 1 rating, since the Civil Aeronautics Administration will have fiscal autonomy. He added that this will enable it to use its revenues to upgrade facilities and train technical people.

“The CAA will have a capital stock of P50 billion,” the senator said. “It can also use about P3 billion it collects in revenues in airports other than the Ninoy Aquino International Airport, the Diosdado Macapagal airport in Clark and the Subic airport.”

These three airports retain their revenues based on their respective charters.

The Senate yielded to the House version of giving the Civil Aeronautics Administration fiscal authority rather than have its annual budget go through Congress for approval.

“We agreed that this would prevent the CAA from undertaking a smoother operation,” Enrile said. “We have decided instead to create an oversight committee to see how the CAA is implementing the law.”

The reconciled bill gives the Civil Aeronautics Administration six months to reorganize and implement the law. The new agency will take over the assets and personnel of the Air Transport Office.

Enrile said the report was based mainly on the House version, authored by Representatives Monico Puentebella of Bacolod City and Juan Edgardo Angara of Aurora Province. There were bills filed on the Civil Aeronautics Administration of the Philippines in the Senate by Senators Edgardo Angara, Francis Escudero and Jinggoy Estrada.

The FAA downgrade to Category 2 could cost the Philippines billions in lost tourism and investment revenues and will keep Philippine Airlines form pushing ahead with the upgrading of its aircraft, services and frequency of flights to the United States.

   

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