Cheaper air fare in Sept for Philippine travelers thanks to lower fuel surcharge

·Senior Editor
·2 min read
The Philippines government’s order on lower fuel surcharge means travellers can look forward to cheaper air fares in September.
The Philippines government’s order on lower fuel surcharge means travellers can look forward to cheaper air fares in September.

Travelers in the Phillippines can look forward to cheaper air fares in September, as airlines adhere to the government’s order on lower fuel surcharge.

According to The Philippine Star, flagship carrier Philippine Airlines will enforce the changes in its fuel surcharge as instructed by the Civil Aeronautics Board (CAB). It will apply to tickets purchased next month, when the holiday season begins.

Separately, budget carrier Cebu Pacific and AirAsia Philippines also pledged to carry out the CAB order, with both airlines expecting a spike in bookings.

A fuel surcharge is the optional fee that airlines enforce to recoup fuel expenses and moderate financial losses due to sudden spikes in jet fuel prices. This may be lowered or removed by CAB, depending on the price movement of jet fuel in the international market.

A CAB advisory had set the fuel surcharge to Level 9 for September, from Level 12 in August, to reflect the latest decline in the price of jet fuel. This means airline firms can impose a fuel surcharge of P287 to P839 for domestic flights and P947.39 to P7,044.27 for foreign trips.

Airlines welcomed the move, saying it will help spur travel.

"This is a welcome development. We look forward to the lower fuel surcharge which should help make fares more affordable and stimulate air travel," Cebu Pacific chief commercial officer Xander Lao told the Philippine News Agency.

“This will benefit many of our guests who are now planning their travels in time for the ‘Ber’ months. (We) will reflect the adjustments in our ticket prices accordingly,” AirAsia Philippines says.

“We welcome this positive development, and we will carry out the corresponding adjustments in our fuel surcharges. The new fuel surcharge rate will be applicable to tickets that will be purchased in September,” PAL Spokesperson Cielo C. Villaluna told BusinessWorld.

Meanwhile, the CAB said airlines must file their application with the Office of the Executive Director on or before the effectivity period if they wish to impose or collect fuel surcharge, not exceeding that of Level 9, for the same period.