CAB to penalize airlines for delays

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    The Civil Aeronautics Board (CAB) has approved a new rule imposing monetary penalty to local airlines for chronic delays and flight cancellations regardless of the cause.

    Carmelo Arcilla CAB executive director, said the board has approved the rules on chronic delays on October 24. The order will be signed and published this month.

    The new regulation will penalize airlines found to have more than 50 percent of their flights delayed or cancelled in a particular period for whatever reason, even if it is due to force majeure or technical reasons.

    Arcilla said the monetary penalty will be on a case by case basis depending on the gravity of the case. CAB will also recall the carrier’s flight allocation if it records persistent flight delays over one season or within a period of three months. – Reuters