CNMI terminates $8M contract with Marianas Southern Airway Photo: Kuam News
Arnold Palacios is appealing to the US federal government to give the CNMI designation to become part of the Essential Air Service community to improve service within and to the Marianas.
Governor Arnold Palacios is appealing to the US federal government to give the Commonwealth of Northern Mariana Islands (CNMI) designation to become part of the Essential Air Service (EAS) community to improve air service within and to the Marianas.
"We need help improving air service within and to the Marianas," Palacios said at the 2024 senior plenary meeting of the Interagency Group on Insular Areas in Washington last week.
"A 30-minute economy class trip between Saipan and Guam should not cost US$600. I appeal to the departments of transportation and the interior to advocate for the Commonwealth's designation as an Essential Air Service community.
The Essential Air Service (EAS) program was put into place to guarantee that small communities that were served by certificated air carriers before airline deregulation maintain a minimal level of scheduled air service.
The Department of Transportation (DOT) is mandated to provide eligible EAS communities with access to the National Air Transportation System.
This is generally accomplished by subsidising two round trips a day with 30- to 50-seat aircraft, or additional frequencies with aircraft with 9-seat or fewer, usually to a large- or medium-hub airport.
The trasnsport department currently subsidises commuter and certificated air carriers to serve approximately 60 communities in Alaska and 115 communities in the lower 48 contiguous states that otherwise would not receive any scheduled air service.
"I also ask for the continued assistance of the departments of State and Commerce to reinvigorate tourism and investment from allied nations," Palacios appealed by bringing the CNMI in to the EAS program.
Arnold Palacios, middle, recently met with senior leaders of the Department of Transportation-Maritime Administration, including Temekia Flack, deputy administrator, and Jack Kammerer, MARAD executive director. Photo: CNMI Office of the Governor
Pivot away from China
Palacios also reiterated his decision to shun the China tourist market in consideration of the current political climate in the region, where the People's Republic of China is advancing its interests in the Pacific.
"At the start of my administration, I announced a pivot away from over-reliance on China to focus on strengthening ties with federal partners and regional allies," he said.
"Our economic recovery has been promising but slow, and the pressure to return to the China market persists.
"A quicker recovery will enhance our resilience against external threats, and strengthen our nation's position in the region."
He said he is looking forward to tangible commitments from federal partners in securing a prosperous and sustainable Marianas, "America's gateway to the Indo-Pacific".