Metro Manila, Philippines – An increase in fuel surcharge will be implemented for flights in the first half of April because of higher fuel costs, the Civil Aeronautics Board (CAB) said.
In an advisory dated March 16, the CAB said the applicable fuel surcharge level for domestic and international flights shall be adjusted to Level 8, effective April 1 to 15.
It’s double from the Level 4 set in March.
Under Level 8, passenger fuel surcharge will range from ₱253 to ₱787 for domestic flights, and ₱835.05 to ₱6,208.98 for international flights. It will have a conversion rate of $1 to ₱58.11.
With the interim and temporary measure, the CAB said it will adopt and implement a 15-day price monitoring and implementation cycle in imposing passenger and cargo fuel surcharge for domestic and international flights.
Previously, the CAB had a one month-cycle.
“The shorter cycle of 15-days during this extraordinary period of high volatility in fuel prices shall allow faster response to market changes reducing the lag between actual fuel costs and applicable fuel surcharge,” the board explained.
“The more gradual and incremental implementation of fuel surcharge to be collected from passengers can be a way of softening the impact of higher fuel surcharge increases, and enable faster reduction when fuel prices decline,” it said.
Succeeding levels will be announced at least three days prior to effectivity, with the evaluation period transitioning to 15 days, the CAB said.
It said the measure shall be in effect until the situation stabilizes, or as may be revised or revoked accordingly.
