PAL, CebGo start reimposing fuel surcharge on plane fares

Two local airlines have reimposed fuel surcharges on air fares starting last week, the companies said on Monday.

CebGo president and CEO Alexander Lao said the fuel surcharge was approved by the Civil Aeronautics Board.

“We implemented last week based on the matrix. If I’m not mistaken last Wednesday,” he told reporters in Makati City.

CAB approved earlier this month the reimposition of fuel surcharges—which were disallowed in 2015—given the increase in petroleum prices.

Philippine Airlines vice president Maria Socorro Gonzaga also said the flag carrier started to impose the fuel surcharge. “Last Wednesday start ng implementation,” she told reporters.

Under a CAB resolution, passengers flying one-way on domestic routes may be charged P34 to P769. International travelers may be charged an additional P163 to P9,860, depending on the destination and the prevailing cost of jet fuel.

“‘Yung surcharge naman is not meant to recover all the costs. Fuel surcharges only recover a portion of the costs,” said Lao.

The Philippines is one of the few countries in the world that has dropped the fuel surcharge.

“Actually, ‘yung fuel surcharge, kung tutuusin Pilipinas is one of the last few countries—at least kung saan kami lumilipad—na nag-i-implement ng fuel surcharge,” Lao noted.

Earlier this year, Cebu Pacific president and CEO Lance Gokongwei said that rising prices of fuel was costing the budget carrier as much as P500 million per month.

For his part, AirAsia Philippines chief executive officer Dexter Comendador said the airline is now looking at the implication of imposing fuel surcharges.

“We’re still working on the correct price kasi we’re concerned on its effect sa public. Our principle kasi is trying to give the lowest, most affordable rate. We’re more concerned about the public. Baka hindi na sila sumakay,” he said.

“We have the option based on the matrix, pero we’re still studying it,” Comendador added. —VDS, GMA News