Flight fuel surcharge raised to historic high Level 19 for April 16-30

A dramatic increase in airfares might greet travelers in the second half of April as the Civil Aeronautics Board (CAB) raised the fuel surcharge level for domestic and international flights to a historic high of Level 19 amid the oil price shock due to the Middle East war.

The CAB is implementing a shorter period of 15 days, from one month, for fuel surcharge level adjustment as an interim and temporary measure amid high volatility in fuel prices to allow faster response to market changes to cushion its impact and manage increasing costs.

For the April 1 to 15 period, the fuel surcharge rate was set at Level 8.

Under Level 8, passengers will be paying P253 to P787 in fuel surcharges for domestic flights, depending on the flight distance, while for international flights originating from the Philippines, the surcharge ranges from P835.06 to P6,208.98.

For April 16 to 30, the fuel surcharge is set at Level 19.

Under Level 19, the passenger fuel surcharge ranges between P627 and P1,824 for domestic flights; while for international flights, the surcharge ranges from P2,070.77 to P15,397.15.

Fuel surcharge is an optional fee, apart from the base fare, that airlines may pass on to passengers to recover costs incurred due to the volatility of jet fuel.

The CAB adjusts fuel surcharges in relation to the price movement of jet fuel.

Last Saturday, Transportation Secretary Giovanni Lopez signaled an "inevitable adjustment" to flight fuel surcharges.

Lopez said the cost of jet fuel has more than doubled since the onset of the US-Israel versus Iran conflict.

“Pre-war, the airline companies are buying [jet fuel] at $80 to $90 per barrel, now it's hitting $200 per barrel,” the Transportation chief said.

READ: How much are the passenger fuel surcharges in CAB’s matrix?

“Airlines wishing to impose or collect fuel surcharge for the same period must file its application with this office on or before the effectivity period, with fuel surcharge rates not exceeding the above-stated level,” the CAB said.

The agency earlier said the next and succeeding applicable levels shall be announced at least three days prior to effectivity, and the evaluation period shall transition to 15 days in accordance with the 15-day implementation period. 

“This interim measure shall be in effect until the current situation stabilizes, or as may be revised or revoked accordingly,” CAB said. —AOL, GMA News