Airlines operating in the Philippines are expected to raise ticket prices and freight fees during the first half of October after the Civil Aeronautics Board (CAB) approved a higher fuel surcharge matrix in response to climbing global jet fuel prices.
In an advisory, the regulatory agency announced that the fuel surcharge for both domestic and international passenger and cargo flights will rise to Level 17 for the October 1 to 15 period, up three tiers from the Level 14 rate applied during the second half of September.
Under Level 17, passenger fuel surcharges for domestic flights will range from P559 to P1,635 per ticket depending on flight distance. For international routes, the surcharge will range between P1,846.10 and P13,726.58.
Cargo shipments will likewise see increased fees, with airlines permitted to charge a fuel surcharge of P2.87 to P8.40 per kilogram on domestic routes and P9.49 to P70.57 per kilogram for international flights originating from the Philippines.
The CAB continues to implement a temporary 15-day monitoring and adjustment cycle for passenger and cargo fuel surcharges, suspending the standard monthly review framework under CAB Resolution No. 25 (2022).
Regulatory officials explained that the shortened evaluation window is designed to help airlines respond more quickly to market volatility while softening the financial impact of rapid price spikes on flight operations.
The CAB noted that the interim 15-day adjustment cycle will stay in place until global jet fuel market conditions stabilize or until the policy is formally revised or revoked.
“Airlines wishing to impose or collect fuel surcharge must file its application with CAB on or before the effectivity period, with fuel surcharge rates not exceeding the above-stated level,” the CAB advised carriers.
The fuel surcharge is an optional fee collected by airlines alongside basic airfares to help offset unpredictable fluctuations in aviation fuel costs.
The upward rate adjustment follows data from the International Air Transport Association’s (IATA) Jet Fuel Price Monitor, which showed global jet fuel prices averaging $194.90 per barrel as of September 18—reflecting a 24.2 percent month-on-month increase and a 116.5 percent surge compared to the same period last year.