THE Philippines agreed to raise seat capacity to and from Australia in a memorandum of understanding (MoU) on Wednesday between the Department of Transportation (DoTr) and Australia’s Department of Infrastructure, Regional Development and Cities.
In a statement on Thursday, the DoTr said the new weekly cap on seat capacity is 10,700, up from 9,300 previously, and covers service between the Philippines and Sydney, Melbourne, Brisbane or Perth. The new cap on seat capacity takes effect after the end of March 2019.
“Airlines from both countries can also now operate unlimited service to regional airports with unrestricted capacity, frequency, and aircraft type,” it said.
The MoU was signed by Transportation Undersecretary for Aviation and Airports Manuel Antonio L. Tamayo on behalf of the Philippines, and Infrastructure Executive Director Stephen Borthwick on behalf of Australia.
Mr. Tamayo said in July that increased seat capacity on Australia services was a priority because of high demand.
Cebu Pacific, which launched a Manila-Melbourne service last month, has said tourism between the two countries has been growing by an average of 16% every year since 2014.
Philippine Airlines also said in March that utilization on its Melbourne and Sydney services has been in the high-80% and 90% range, pushing it to add more flights to Melbourne in June. — Dennis A. Valdez