Landing fees for airlines flying CNMI-Japan route to be waived

As part of the government’s efforts to revive the Japanese market, a program to give incentives to airlines flying the CNMI route from Japan is in the works.

In a meeting, the board of directors of the Marianas Visitors Authority has approved to encumber funds to help waive landing fees for airlines servicing the Commonwealth and Japan as part of the Japan Revitalization Program.

“This is the landing fee discussion that has been on going with the Commonwealth Ports Authority to entice flights from Japan to the CNMI to sort of save this dwindling market, we need increased airlift from Japan. The proposal was to grant landing fee waivers for a period of one year and 50 percent discount for the second year,” MVA managing director Chris Conception said.

The waiver will be open to any airline flying to Japan with direct regular daily flights. Currently, only Delta Airlines is flying to Saipan with this kind of service.

“We have a $340,000 unencumbered fund that we are able to use for this program. It covers from May 1st to the end of fiscal year, Sept. 30,” he added.

The board voted unanimously to use the funds.

Concepcion noted that they are waiting on the support from CPA and the central government.

“We’re still waiting on CPA and the Office of the Governor to see what their contributions will be,” Concepcion said.

Concepcion, however, said in an interview that he doesn’t know yet how much exactly the landing fees that they are basically shouldering are, adding that they are “waiting on CPA to get back to us on what it is that.”

“At the end of the day, CPA is the recipient of the landing fees so we want to make sure that we’re on the same page,” Concepcion said.

“We’re hoping to get additional support with CPA and the central government,” he added.

Concepcion said they are doing their best to increase arrivals of Japanese tourists in the CNMI.

He also mentioned that they are in active discussion with eight or nine airlines to come to the CNMI including some that could serve the Japanese market.

“We’re doing our best to entice additional capacity and the MVA is in full support, they have authorized funding to assist with airlift support and we will go ahead and meet with our stakeholders and implement the program,” Concepcion said.