Airfares are expected to rise next month due to an increase in fuel surcharges and the airlines’ need to offset the extra cost of jet fuel, the Civil Aeronautics Board said.
In an advisory issued yesterday, the CAB said passenger and cargo fuel surcharges for domestic and international flights will increase to level 5, effective March 1 to 31, 2025, up from level 4 this month.
Level 5 fuel surcharge ranges from P151 to P542 per passenger, one way for domestic destinations, compared with level 4 fuel surcharges costing from P117 to P342.
On international flights, level 5 fuel surcharges range from P498.03 to P3,703.11, depending on the destination.
Level 4 fuel surcharges range from P389.70 to P2,867.82 per passenger, one way.
Airline fuel surcharges are optional and not a part of the basic airfare. The amount may be reduced or scrapped depending on the market price of jet fuel, the CAB said.
Airlines that intend to impose or collect a fuel surcharge for the same period must submit their application on or before the effective date, CAB said.
The fuel surcharge rates are not supposed to exceed the prescribed level whose equivalent currency is $1 = P58.46.
According to the International Air Transport Association (IATA) monitor, the global average jet fuel price increased by 0.5 percent last week to $96.11 per barrel as of Feb. 14, 2025, up from $95.63 per barrel on Feb. 7, 2025.
Meanwhile, local airlines Cebu Pacific and AirAsia Philippines are expected to continue offering promos despite the impending increase in fuel surcharge.
Xander Lao, CEB president and chief commercial officer, in a Viber message to the media on February 18, said: “Despite fuel surcharges increasing in March, Cebu Pacific remains committed to offering the best value fares so every Juan can still travel affordably. With summer travel approaching, we encourage our passengers to book early and take advantage of our lowest fares. We look forward to flying every Juan to their much-awaited getaways this season”.
AirAsia Philippines Communications and public affairs head first officer, Steve Dailisan said in a statement on Tuesday: “We understand that this change may minimally impact guests’ travel plans, that’s why our Piso Fare promotion is perfectly timed for those looking to save on cost.”
He added, “Despite the adjustments, AirAsia remains fully committed to fulfilling our brand promise of making air travel safe, accessible, and hassle-free for purposeful journeys with family, friends, and loved ones.”
AirAsia Philippines offers a 400,000-seat sale promo until Feb. 23, 2025, for domestic and international flights.