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Air fares are expected to remain steady in November without any movements to the fuel surcharge
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The Civil Aeronautics Board kept at Level 4 the fuel surcharge for passengers and cargo
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This is the fourth straight that the surcharge has been left unchanged
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Level 4 rates for passengers vary from P117 to P342 per passenger on a domestic flight, and P85.70 to P2,867.82 per passenger on an international flight
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For cargoes, rates are from P0.60 per kilogram to P1.76 per kg on a one-way domestic flight, and from P1.98 per kg to P14.74 per kg on a one-way international flight originating from the Philippines
Air fares are expected to remain steady in November without any movements to the fuel surcharge.
The Civil Aeronautics Board (CAB) kept the fuel surcharge for passengers and cargoes at Level 4 in November, the fourth straight month the surcharge has been left unchanged.
Airlines seeking to collect or impose fuel surcharge for November must submit an application with CAB on or before the effectivity period, CAB said in an advisory dated October 17.
Under CAB Resolution No. 25, Level 4 fuel surcharge for passengers range, depending on distance, from P117 to P342 per passenger on a domestic flight, and P85.70 to P2,867.82 per passenger on an international flight.
For cargoes, Level 4 rates range from P0.60 per kilogram (kg) to P1.76 per kg on a one-way domestic flight, and from P1.98 per kg to P14.74 per kg on a one-way international flight originating from the Philippines.
For fuel surcharge to be collected in equivalent currency, the applicable conversion rate for November will be $1 to P57.57.
For international flights originating from the Philippines, the fuel surcharge can be charged in any foreign currency of equivalent value.
READ: CAB keeps airlines’ fuel surcharge rates in Oct at Level 4
Resolution No. 25 provides CAB’s revised fuel surcharge policy, which introduced a cargo fuel surcharge matrix to address the impact of volatile jet fuel prices on cargo transported in passenger aircraft bellyholds.
The surcharge rate is determined based on the one-month average of jet fuel prices (Mean of Platts Singapore) in pesos per liter equivalent, setting the maximum allowable rate. This change is designed to help airlines offset financial losses during periods of rising fuel costs.
Resolution No. 25 recognizes airlines can choose to charge a fuel surcharge as an optional fee to cover rising fuel expenses and prevent financial losses during fuel price spikes.
According to the resolution: “Fuel surcharge is not a part of the basic airfare and may be reduced or removed depending on the price of jet fuel in the market, in accordance with prevailing international practice.”
If the one-month price average of jet fuel per liter falls below P21, no fuel surcharge will be collected. For both passengers and cargo, the surcharge should be applied uniformly for all passengers (except infants without seats) and segments.
In the case of cargo, it applies only to cargo carried in the aircraft’s cargo hold during combination services and must have an airway bill.
The surcharge is based on the actual weight and does not apply to passengers’ checked baggage.