Airport revenues soar 11 percent

Deployment by Mandarin Airlines of nonstop flights from Taipei to Saipan pushed Commonwealth Ports Authority’s revenues by 11 percent in August to over $950,000 from $865,000 posted during the same period last year.

Mandarin Air’s twice-per-week flights to Saipan also salvaged the otherwise negative growth in aircraft landing at the Saipan International Airport, according to a financial report prepared by CPA comptroller Dave S. Demapan.

Aircraft landing at the Saipan air transport facility registered a single-digit growth despite the 17-percent reduction in Continental Micronesia flight services to the island, thanks to the 56 percent increase posted by Seoul-based carrier, Asiana Airlines.

Mr. Demapan reported that total number of Northern Marianas-bound passengers during the same month jumped 19 percent with all CNMI signatory carriers, except for Japan Airlines.

JAL has unusually encountered a four-percent reduction in passenger haul during the month of August, although the drop failed to drag overall deplanement figures down, which totaled 48,259 from the year ago’s 40,415.

Despite drop in enplanement figures recorded by Continental Micronesia and JAL at 20 percent and seven percent respectively, total number of outbound passengers picked up by one percent mainly spurred by dramatic growth manifested by Northwest, Asiana and Mandarin Air.

The CPA financial report disclosed Northwest’s enplanement statistics grew by 16 percent while Asiana’s outbound passenger haul increased by 35 percent, and that of Mandarin Air by 100 percent.

Following Continental Micronesia’s decision to pullout nonstop international flights to Saipan, JAL has captured the biggest market share at 38 percent with the region’s carrier grabbing only 22 percent of the market.

Northwest, Asiana and Mandarin Air shared for the remaining 40 percent at 20 percent, 18 percent and two percent respectively.

Board Chair Roman S. Palacios attribute the growth of the agency’s operating revenues to the increased participation of CNMI signatory carriers to the Airline Incentive Program.

The program, which was implemented by the ports authority last year, grants 50 percent reduction in arrival and departure fees to CNMI signatory airlines that are able to bring up their arrival figures by 15 percent from their current traffic load.

To qualify under the CPA Airline Incentive Program, airline companies need not increase flights between Saipan and foreign countries but bring in more people through upgrade in equipment or increase seating capacity.