MANILA, Philippines – President Rodrigo Duterte has granted a 25-year transport franchise to Magnum Air Inc., which operates SkyJet Airlines.
Duterte signed Republic Act 11410 on August 22, 2019, a copy of which was released to the media on Thursday.
Under the new law, Magnum Air is granted the franchise to operate local and international air transport services.
The law ordered the airline to “fix just and reasonable rates for the transportation of passengers, mails, goods and freights subject to the regulations and approval of the CAB (Civil Aviations Board) and other proper regulatory agencies of the government.”
It added that “in accordance with the Constitutional provision to encourage public participation in public utilities,” Magnum Air Inc. should “offer at least thirty 30 percent of its outstanding capital stock or a higher percentage” that may be provided by law in any securities and exchange commission in the Philippines within five years from the start of its operations.
Magnum Air Inc. is also authorized to enter into transportation contracts with the Philippine government.
SkyJet, which started regular commercial operations in 2012, has direct flights from Manila to Camiguin, Batanes, Coron, Siargao and San Vicente, Palawan and vice versa. /gsg