MANILA: Flag carrier Philippine Airlines said Friday it will pay the government six billion pesos (SR441.6 million) after President Rodrigo Duterte threatened to cut off its access to Manila airport over alleged unpaid landing and other fees.
Duterte had given the airline a Friday deadline to pay arrears.
“The (Department of Transportation) has accepted the offer of PAL to pay in full the six billion-peso claims of the (Civil Aviation Authority of the Philippines/Manila International Airport Authority,” a joint statement said.
“One of the overriding reasons why PAL agreed to settle is to manifest its trust and confidence in President Duterte’s administration,” the statement said.
The airline also committed to “keep all transactions updated and current” with the aviation and airport authorities, it added.
On September 26 Duterte said he had told PAL chairman and billionaire Lucio Tan: “You are using government buildings, airport, you have back debts for the use of the runway that you have not paid.
“I said, ‘You solve the problem yourself. I will give you 10 days. Pay it. If not I will close it down. No more airport’.”
Previously state-owned PAL was sold off in 1992, and the government said the fees were waived when the airline was government-owned.
Despite an increase in low-cost competitors, PAL still has the largest fleet in the Philippines and is the only local carrier to fly to North America and Europe.
In June it said it planned to increase its fleet serving smaller islands in the archipelagic nation.
PAL’s parent company, PAL Holdings, suffered a net loss of 501 million pesos for the three months to June due to higher fuel costs and aircraft lease charges.
Philippine flag carrier agrees to pay $117 million aviation fees
Philippine flag carrier agrees to pay $117 million aviation fees
Saudi Mawani, Arabian Chemical Terminals sign $133m land lease for Jubail port storage tanks
RIYADH: The Saudi Ports Authority, or Mawani, has signed a contract with Arabian Chemical Terminals Ltd. to establish storage tanks for chemical and petrochemical materials at Jubail Commercial Port, with an investment exceeding SR500 million ($133 million) on an area of 49,000 sq. meters.
The project will help enhance operational efficiency and increase handling capacity, in line with the objectives of the National Transport and Logistics Strategy, which aims to consolidate the Kingdom’s position as a global logistics hub.
This step forms part of Mawani’s efforts to strengthen private-sector participation in supporting gross domestic product growth and to reinforce the role of Jubail Commercial Port as a key driver of commercial activity.
The project’s storage capacity will reach 70,000 cubic meters, boosting the competitiveness of the Kingdom’s ports at both regional and international levels.
It aims to develop and expand storage capacity and support the export of chemical and petrochemical materials in accordance with the highest international standards, while strengthening supply chains.
The project includes the establishment and development of specialized facilities for storing and exporting chemical and petrochemical products, as well as the provision of storage and distribution services for local and international imports and exports, in line with global quality and safety standards.
It will contribute to supporting national supply chains, enhancing the Kingdom’s chemical logistics capabilities, and raising operational efficiency and capacity, thereby improving customer competitiveness.
The initiative also supports the objectives of Saudi Vision 2030 by promoting infrastructure development across the energy, industry, and supply chain sectors.
