Regulator eyes 10-percent overbooking threshold for airlines

Adrian Ayalin, ABS-CBN News

Posted at Jul 11 2017 03:49 PM

MANILA - The Civil Aeronautics Board said Tuesday it was considering allowing airlines to overbook flights by up to 10 percent of capacity.

The 10-percent threshold, once restored, will fall between the 5 to 15 percent range in the US, CAB legal division chief Wyrlou Samodio told the House Committee on Transportation.

Overbooking is an industry practice and allowing it by up to 10 percent is unlikely to inconvenience passengers, Samodio said.

Laban Konsyumer Inc. President Vic Dimagiba opposed the CAB's proposal. 

“Our position is that either we maintain the status quo or prohibit allowing overbooking,” Dimagiba said. 

Banning overbooking will give international airlines undue advantage, said Cebu Pacific lawyer Paterno Mantaring. 

Antipolo City Rep. Romeo Acop said he would push for the prohibition of overbooking as the practice only benefits airline companies at the expense of passengers. 

Bulacan Rep. Apol Pancho told airline companies that the non-transferable policy on tickets purchase should also be relaxed. 

Pancho said he recognizes that transferring tickets may be abused but consideration must be given to legitimate buyers.

A no-transfer policy for tickets is part of industry practice, said Philippine Airlines legal officer Clara De Castro.