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DECRETO N° 509

THE LEGISLATIVE ASSEMBLY OF THE REPUBLIC OF THE SALVADOR,

CONSIDERING:

I.- That article 102 of the Constitution of the Republic states: that economic freedom is guaranteed, insofar as it is not opposed to social interest, and that the State shall promote and protect private initiative, within the conditions necessary to increase national wealth and, in order to ensure the benefits of it, the largest number of inhabitants of the country.

II.- That the 1944 Chicago Convention, of which our country is subscriber, states that it is the power of States, to grant to any other State, the rights of first, second, third, fourth and fifth freedoms of the air and their combinations.

III.- That through Legislative Decree No. 582 of 18 October 2001, published in Official Gazette No. 198, Volume No. 353, dated 19 of that same month and year, the Organic Law on Civil Aviation was adopted.

IV.- That the air transport sector, at the global level, in recent years has evolved, in the related part, to the commercial opening of the skies of the countries, through the subscription of bilateral or multilateral agreements, thus allowing to increase the number of frequencies of the flights of the different airlines operating in the different countries, as well as the participation of more operators, thus producing a better competitiveness in the provision of such service.

V.- That the above-mentioned situation demands the modernization of the corresponding regulatory bodies, with the aim of adapting our legislation to that of most countries, putting us at the forefront in the provision of air transport services, which in turn becomes necessary, the issuance of the reforms to the law referred to in the consideration III of this Legislative Decree.

TANTO,

Antonio Chavarez, Antonio Chabarz, Fernando Langue.

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Noemí Coto Estrada, Rosa Alma Cruz Marinero, Nery Arely Díaz de Rivera, Nidia Díaz, Antonio Echeverría Veliz, René Gustavo Escalante Zelaya, José Edgar Escolán Batarse, Julio César Fabián Pérez, Santiago Flores Alfaro, Vicente Gómez Hernández, Iris Maridivies Guerra Henríquez, José Augusto Hernández

DECRETE the following:

REFORMS TO THE INTERNATIONAL LEY OF CIVIL AVIATION

Art. 1.- Refresh the Art. 3 to incorporate two general concepts in its alphabetical order, as follows:

“CIELOS ABIERTOS: It is the state policy that aims to liberalize air transport markets, reducing government intervention in passenger, cargo and combined services, for regular and non-regular flights, subject to the principle of actual and effective reciprocity, in the terms agreed in the bilateral or multilateral agreements concluded by El Salvador with other States. ”

“Real and EFFECTIVE RECIPOY: It is the condition to operate in a country, which imposes a State on a foreign air operator, or the other State, to grant rights equivalent to air transport operators. ”

Art. 2.- Refer to Art. 7, paragraph 2, as follows:

2. “Formulate and implement the open heaven policy, based on the principle of real and effective reciprocity, established in Art. 3 of this Law. ”

Art. 3.- Reference is made to Art. 10 as follows:

5. “To be able to demonstrate knowledge and capacity in matters related to their powers or to have a university degree, in addition to the proposed director for Foreign Affairs, to have knowledge of aviation law and air transport. ”

Art. 4.- Refer to Art. 13, paragraph 5, as follows:

5. “Publishing knowledge, capacity, domain and the necessary experience in civil aviation and air transportation and having a license from Air Technical Staff in any technical area of the same, or having a university degree. ”

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Art. 5.- Amend Art. 22, as follows:

“TARIFAS y FLETES DE TRANSPORTE AEREO

Art. 22.- The fixing of air transportation fees and freights in the activities of Commercial Civil Aviation, passengers, cargo and mail, both national and international, shall be freely carried out by air carriers, in accordance with market conditions.

Air transport operators shall record their rates and freight at the AAC and, in them, shall clearly and explicitly describe the restrictions to which they are subject and the time in which they shall remain in force; as well as the respective conditions offered. Restrictions and conditions should be made known to users at the time of service recruitment.

For reasons of national interest or public necessity of the State, the AAC may temporarily set minimum and maximum rates for national and international air transport, and for this purpose they shall request opinion from the Superintendence of Competition, responsible for promoting, protecting and guaranteeing competition, which shall be binding; but, in any case, the Superintendence of Competition shall be obliged to issue the requested opinion. This intervention will be justified in consideration of distortions in the market, and its transient character will remain as long as such distortions exist. The methodology for establishing the minimum and maximum rates should, consider the analysis of national and international air transport services, which present similar technical and operational characteristics. The minimum and maximum rates must be approved by the CDAC on the basis of the technical report of the executive director, and they must be published by the AAC, prior to the beginning of its validity.

The AAC shall have the power to regulate aspects of tariffs that are not covered by international conventions, and to determine the minimum and maximum rates, as well as for the exercise of a transparency thereof, air transport operators shall submit to the AAC, all information that it deems appropriate and which is related to the development of their activities, both technical, commercial, legal, statistical, economic and financially.

The setting of the minimum and maximum rates and the intervention of AAC shall be regulated. ”

Art. 6.- Refer to Article 74 (a) as follows:

“When real and effective reciprocity is not granted, as provided in Art. 89 of this Law;”

Art. 7.- Amend Art. 76, as follows:

“Art. 76.- National and foreign airlines shall maintain, during the operation permit, a bond granted by a financial institution operating in our country, in favour of the Civil Aviation Authority, which shall be established by the Superintendency of Mercantile Obligations, in accordance with the volume of their investments. This bond will guarantee the rights of users and service providers of airlines.

The established amount shall be revised and updated by the Superintendency, whenever the airline requests the renewal of its permit. ”

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Art. 8.- Refresh the heading of Art. 80, and its fourth subparagraph, as follows:

“NO REGULAR SPECIAL VUELS OR CHARTER VUELS”

“However, when these flights originate in the national territory and are intended to be carried out, between points communicated by regular air transport companies, the permits shall be granted after evaluation of the Civil Aviation Authority, for which, such authority, shall make the respective assessment or investigation, within which, shall make the relevant consultation, to the Superintendence of the Competition, whose opinion shall be issued in the maximum period of 3 days, counted to be ”

Art. 9.- Amend the heading of Art. 89 and add a final subparagraph as follows:

“ POLICY OF ARRANGEMENTS IN THE INTERNATIONAL AERE TRANSPORT

“The State will implement the policy of open heaven, as set out in Art. 3 of this Law, for which the first, second, third, fourth and fifth freedoms of the air will be granted, and its combinations, on the basis of the principle of real and effective reciprocity, and of the provisions of international conventions and treaties, signed by El Salvador with other States. ”

Art. 10.- This Decree shall enter into force eight days after its publication in the Official Gazette.

DADO en EL SALON AZUL DEL PALACIO LEGISLATIVE: San Salvador at the ten days of October of the year two thousand thirteen.

OTHON SIGFRIDO MORALES, PRESIDENT.

ALBERTO ROMERO RODRIGUEZ, GUILLERMO ANTONIO GALLEGOS NAVARRETE, FIRST VICEPRESIDENT. SECOND VICEPRESIDENT.

JOSE FRANCISCO MERINO LOPEZ, FRANCISCO ROBERTO LORENZANA DURAN, TERCER VICEPRESIDENT. VICEPRESIDENT FOURTH.

ROBERTO JOSE d’AUBUISSON MUNGUIA, QUINTO VICEPRESIDENT.

LORENA GUADALUPE PEÑA MENDOZA, CARMEN ELENA CALDERON SOL DE ESCALON, FIRST SECRETARIAT. SECOND SECRETARIAT.

SANDRA MARLENE SALGADO GARCIA, JOSE RAFAEL MACHUCA ZELAYA, TERCERA SECRETARIA. SECRETARY FOURTH.

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IRMA LOURDES PALACIOS VASQUEZ, MARGARITA ESCOBAR, QUINTA SECRETARIA. SECRETARY SIX.

FRANCISCO JOSE ZABLAH SAFIE, REYNALDO ANTONIO LOPEZ CARDOZA, SEPTIMO SECRETARIO. OCTAVO SECRETARY.

CASA PRESIDENCIAL: San Salvador, on the five days of November of the year two thousand thirteen.

PUBLIQUESE,

Carlos Mauricio Funes Cartagena, President of the Republic.

Gerson Martínez, Minister of Public Works, Transport and Housing and Urban Development.

D. O. No. 210 Volume No. 401 Date: November 11, 2013

JQ/ielp 04-12-2013

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