DOTr, CAAP cut airport, passenger fees amid rising jet fuel prices


MANILA – Acting Transportation Secretary Giovanni Lopez on Friday ordered a reduction in Passenger Service Charges (PSC) and airport navigation charges to reduce the operating costs of airlines amid rising fuel prices.

In a news release, Lopez said he gave the order to the Civil Aviation Authority of the Philippines (CAAP), and it will be applicable to all CAAP-operated airports in the country.

“[Ito ay] para mapagaan ang pasanin ng mga pasahero ng mga airline kasunod ng pagtaas ng jet fuel sa buong mundo dahil sa digmaan sa Middle East (This is to lessen the burden of airline passengers following rising jet fuel costs worldwide due to the ongoing conflict in the Middle East),” he said.

According to the Department of Transportation’s (DOTr) latest data, jet fuel costs have risen from USD90.87 per barrel on Feb. 19 to USD188.2 per barrel on March 9.

Aside from reducing airport and passenger fees, Lopez ordered the Civil Aviation Board (CAB) to shorten its evaluation and implementation period to 15 days for a quick reduction in airfares once the price of jet fuel stabilizes.

“Patuloy na mino-monitor ng pamahalaan ang sitwasyon at ang pakikipagtulungan sa aviation industry para matiyak na mananatiling ligtas, maaasahan, at abot-kaya ang air travel para sa publiko (The government continues to monitor the situation and is working with the aviation industry to ensure safe, reliable, and affordable air travel for the public),” Lopez said.

Several Asian airlines have announced plans to raise airfare and adjust fuel surcharges due to the ongoing war between the US, Israel, and Iran.

The airlines with confirmed fare hike plans include AirAsia, Air India, Air New Zealand, Hong Kong Airlines, Japan Airlines, Qantas, and SpiceJet. (PNA)

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