MANILA President Rodrigo Roa Duterte has signed a law granting Magnum Air Inc., which operates SkyJet Airlines, a franchise of 25 years.
Under Republic Act 11410 signed by Duterte on Aug. 22, Magnum Air is granted the franchise to "establish, operate, and maintain transport services for the carriage of passengers, mails, goods, and property by air, both domestic and international."
However, the franchise will be revoked if Magnum Air fails to commence operations within one year from the approval of its permit; operate continuously for two years; or commence operations within two years from the effectivity of this law.
The Civil Aeronautics Board (CAB) and the Civil Aviation Authority of the Philippines (CAAP) will be tasked to issue appropriate certificates, permits, and licenses for its operations.
They will also ensure that all aircraft used are at all times "airworthy" and that the crew members are licensed by the government.
The law also requires Magnum Air Inc. to be "equipped with radio communications, safety, and other equipment, and shall be operated and maintained in accordance with the regulations and technical requirements."
CAAP is tasked to regularly inspect and regulate Magnum's equipment and the operation of the equipment.
The law requires Magnum Air to "fix just and reasonable rates for the transportation of passengers, mails, goods, and freight."
Magnum Air is authorized to enter into transportation contracts with the Philippine government including the carrying of mail.
It should also offer at least 30 percent of its outstanding capital stock or a higher percentage that may be provided by law in any securities exchange in the Philippines within five years from the start of its operations.
Skyjet Airlines, which started operations in December 2012, serves flights from Manila to Batanes, Camiguin, Coron and San Vicente in Palawan, and Siargao. (PNA)
Source: Philippines News Agency