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PRESIDENTIAL DECREE NO. 895
PRESIDENTIAL DECREE NO. 895 -
AUTHORIZING THE CIVIL AERONAUTICS ADMINISTRATION TO IMPOSE RETALIATORY
OR COMPENSATING FEES, RENTALS AND CHARGES ON FOREIGNRLINES
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WHEREAS,
the Philippine flag carrier performs internationalr transportation
services which are of vital importance to the foreign commerce, trade
and tourism interests of the Philippines, including its balance of
payments and foreign exchange reserves, the Postal Service and national
security and defense; chanroblesvirtualawlibrary
WHEREAS, it is found that the Philippine flag carrier's ability to
compete with foreignr carriers is currently being weakened by a variety
of discriminatory and unfair competitive practices adopted and
implemented by foreign countries, such as, the discriminatory method of
imposing certainrport charges, and the imposition of exorbitant fees,
rentals and charges which are unrelated to the cost of providing the
particular service or facility;chanroblesvirtualawlibrary
WHEREAS, it is also found that in most countries of the world, it is
now the prevailing practice and policy to require or give preference to
the use of national flag carriers for official government
internationalr transportation and forr transportation required by
organizations, institutions or corporations owned or controlled by the
Government, in order to conserve and save foreign exchange and improve
the balance of payments;chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers in me vested by the Constitution, do hereby
order and decree as follows:cralaw:red
Section 1. The Civil Aeronautics Administration is
hereby authorized and empowered to determine and impose retaliatory or
compensating charges, fees and rentals of foreignrlines whose countries
impose excessive or discriminatory charges, fees and rentals upon the
Philippiner carriers, equal to the amount of the excessive, or
discriminatory charges, fees and rentals imposed, directly or
indirectly, by such foreign countries on the Philippiner carriers. Such
charges, fees and rentals shall be deemed excessive or discriminatory
when they unreasonably exceed comparable charges, fees and rentals in
the Philippines.
The amounts collected by the Civil Aeronautics Administration from such
retaliatory or compensatory charges, fees and rentals shall accrue to a
revolving fund from which payments shall be made to the Philippiner
carriers affected in such amounts as would adequately compensate such
carriers for the excessive or discriminatory charges, fees and rentals
paid to the foreign countries involved, and the balance of the fund, if
any, shall be utilized by the Civil Aeronautics Administration for the
construction, repair, maintenance and improvement of the Manila
Internationalrport and otherrports and their related facilities and for
no other purpose.
Section 2. The Civil Aeronautics Administration and
the Civil Aeronautics Board are hereby required to survey ther
practices, policies and requirements adopted and implemented by foreign
countries in order to determine whether they are discriminatory or
unreasonable in so far as they affect the Philippiner carriers. Once
the determination is made that any practice, policy or requirement
imposed by any foreign country upon any Philippiner carrier is
discriminatory or unreasonable, the Civil Aeronautics Administration
and the Civil Aeronautics Board are hereby authorized and empowered to
adopt and implement such measures, rules and regulations or practice
within their respective competence and jurisdiction as would compensate
the Philippiner carrier affected or place such carrier in a more
competitive position in the internationalr transportation system.
Section 3. All laws, decrees, orders, rules and
regulations or part thereof inconsistent with this Decree are hereby
repealed or modified accordingly.
Section 4. This Decree shall take effect immediately.
Done in the City of Manila,
this 26th day of February in the year of Our Lord, nineteen hundred and
seventy-six.
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Since 19.07.98
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