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CPA intensifies efforts to entice new carriers
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Posted on Jan 22 2001
The Commonwealth Ports Authority is taking aggressive steps to encourage more foreign carriers to provide additional air transport services to the Northern Marianas in light of declining visitor traffic to the islands for over two years now.
Board Chair Roman S. Palacios is confident the ports authority will be able to attract new carriers to come to the CNMI especially after CPA decided to extend the Airline Incentive Program which gives 50 percent discount on airport charges on specific terms.
The CNMI government, through the Economic Recovery and Revitalization’s Aviation Task Force, has been trying to encourage other foreign carriers to provide air transport services to the island following Continental Micronesia’s decision to stop direct flights to Saipan.
Recent projects have it that the number of visitors who will be disembarking at the Saipan International Airport will increase in the next 10 years.
This, even as arrival figures are expected to remain at lower levels than what the Northern Marianas experienced during the past decade.
A report submitted to CPA disclosed that total enplanements at the Saipan International Airport are expected to jump at an annual compounded rate of 4.5 percent in 10 years.
The report said impacts resulting from the Asian economic crisis are anticipated to continue through fiscal year 1999, and potentially into FY 2000.
The future recovery of the yen may restore passenger demand levels at the airport but at lower levels than was experienced over the past 10 years, a government-commissioned study said.
This is expected to result to a slight increase in total enplanement at the international airport until 2007.
An airline company based in Clark Airbase in Pampanga, Philippines was earlier being tapped to serve the huge Filipino market on the island.
The carrier previously bared plans to offer cheaper airfare and more acceptable schedule. It will however initially provide charter flights between Saipan and the Philippines.
For many years, Continental Micronesia has cornered a big chunk of the huge Filipino market despite the unfriendly schedule which makes them wait for at least three hours at the Guam International Airport.
