WHEREAS, the Declaration of Policies under Republic Act No. 776 mandates the CAB to encourage and develop a healthy and competitive air transportation system properly adapted to the present and future requirements of foreign and domestic commerce in the Philippines.

WHEREAS, Executive Order No. 219, was issued on January 03, 1995 establishing our domestic and international civil aviation liberalization policy, and mandating the CAB to promote the growth and viability of developmental routes and gateways through the encouragement of developmental air services;

WHEREAS, pursuant to our civil aviation liberalization policy, Executive Order No. 253 was subsequently issued on December 03, 2003, providing for the expansion of air services to the Diosdado Macapagal International Airport (DMIA) and Subic Bay International Airport (SBIA), through its development as a major cargo hub for the Asia Pacific Region;

WHEREAS, the promotion of the growth and viability of developmental air services in developmental routes, specifically DMIA, SBIA, DIA, MCIA, LIA, ZIA, and other developmental gateways as mandated by E.O.'s 219 and 253 is essential and expanding investments, trade and tourism.

WHEREAS, the liberalization of international charter services that shall allow international operations to such developmental routes and gateways with or without readily usable allocations can help achieve the objective of promoting the growth and viability of developmental routes and gateways;

NOW, THEREFORE, the BOARD RESOLVED as it hereby RESOLVES, to adopt a liberalized charter program for international non-scheduled services and chartered services at the Diosdado Macapagal International Airport (DMIA), Subic Bay International Airport (SBIA), Davao International Airport (DIA), Mactan, Cebu International Airport (MCIA), Laoag International Airport (LIA), Zamboanga International Airport (ZIA) and other developmental routes as maybe determined by the Board, under the following conditions:

1. A Philippine international carrier holding a CPCN for international scheduled air services interested in operating under the Liberalized Charter Program shall apply for a permit to operate under the said program after payment of the required fees. Such permit shall be co-terminus with the effective period of the permittee's CPCN, and shall be operable subject to the approval by the aviation authorities of the foreign destination proposed to be served under the program;

2. A foreign airline interested in availing of the Liberalized Charter Program which is not a holder of a Foreign Air Carrier's Permit (FACP) for scheduled services shall apply for an FACP for scheduled services in compliance with Economic Regulation No. 1 and Economic Regulation No. 2;

3. A holder of an FACP for schedule services, with or without existing allocations to Clark, Subic and other developmental routes shall apply for a permit under the Liberalized Charter Program upon payment of the required fees. Such permit shall be co-terminus with the effective period of the permittee's FACP;

4. A grantee of a permit to operate under the Liberalized Charter Program shall be allowed to operate pre-approved charter flight schedules renewable for six (6) month periods or less with authority to issue individual tickets; and

5. A grantee of a permit to operate under the Liberalized Charter Program shall comply with all other requirements that the Board may impose.

RESOLVED FURTHER, to authorize the Executive Order to act on applications for permits to operate developmental routes under the Liberalized Charter Program.

Adopted: 12 May 2005

                                                                                 

(SGD.) USEC. EDWARD HARUN V. PAGUNSAN
Alternate Chairman
(SGD.) ASST. SEC. NILO C. JATICO
Vice-Chairman
(SGD.) ATTY. FLORENTINO M. HERRERA II	(SGD.) RENATO C. VALENCIA
Member	Member
Attested by:
(SGD.) CARMELO L. ARCILLA
Deputy Executive Director
(Acting Board Secretary)