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DOTr orders cut in airport fees to counter rising jet fuel prices

Published Mar 13, 2026 08:55 pm
FILE - A traveler looks out at an airplane at Salt Lake City International Airport, in Salt Lake City, July 3, 2024. (AP Photo/Rick Bowmer, File)
FILE - A traveler looks out at an airplane at Salt Lake City International Airport, in Salt Lake City, July 3, 2024. (AP Photo/Rick Bowmer, File)
The Department of Transportation (DOTr) has ordered a reduction in two major fees imposed on passengers departing from government-managed airports in a bid to keep air travel affordable as jet fuel prices rise.
In a statement, Acting Transportation Secretary Giovanni Lopez said he has directed the Civil Aviation Authority of the Philippines (CAAP) to reduce the passenger service charges and airport navigation charges at all CAAP-run gateways.
Lopez said this is to ease the operating costs of airlines, which have been facing continued increases in jet fuel prices due to the conflict in the Middle East that has been disrupting the global oil supply.
Based on DOTr monitoring, the price of jet fuel has doubled to $188.2 per barrel as of March 9 from around $90.87 on Feb. 19.
At this lower price, the Civil Aeronautics Board (CAB) kept the fuel surcharge, which is separate from the basic airfare, at Level 4 for the month. The level has remained unchanged since August last year.
Under Level 4, travelers may pay an additional ₱117 to ₱342 for domestic flights, depending on the flight’s distance. For international routes, the surcharge ranges between ₱385.70 and ₱2,867.82.
With the impending increase in the surcharge, Lopez said the CAB will shorten the evaluation and implementation period for the fee to 15 days from the typical one month.
He said this would ensure that any decrease in jet fuel prices can be reflected more quickly in airfares, allowing passengers to book their flights at more affordable rates.
“The government continues to monitor the situation and coordinate with the aviation industry to ensure that air travel remains safe, reliable, and affordable for the public,” said Lopez.
For Cebu Pacific, the low-cost carrier said it is now reviewing its pricing and network strategies to ensure that the impact of higher fuel prices remains minimal.
“Our operating fundamentals—including our robust domestic network, modern fuel-efficient fleet, and low-cost structure—provide us relative advantages as we navigate these headwinds,” said Cebu Pacific chief executive officer Mike Szucs.
For the first two months of the year, the airline flew 5.07 million passengers, an increase of seven percent from 4.74 million passengers in the same period last year.
Broken down, the domestic segment reached 3.74 million passengers or nearly 74 percent of the total, while international volume hit 1.33 million passengers.
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