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Cebu Pacific seeks hike in fuel surcharges


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Cebu Pacific Airlines Logo Source: www.abs-cbnnews.com

By Louella D. Desiderio, The Philippine Star

MANILA, Philippines – The operator of budget airline Cebu Pacific is seeking a hike in fuel surcharges to be collected from passengers of its local flights amid rising oil prices.

A published notice dated March 5 showed that Cebu Air Inc. is asking the Civil Aeronautics Board (CAB) to approve a P50 to P100 adjustment in surcharges on passengers of domestic flights.

“Notice is hereby given that Cebu Air Inc. has filed with the CAB a petition for authority to impose upward adjustment of fuel surcharge on its domestic passenger tickets,” the CAB said.

Cebu Air’s proposal involves an increase in fuel surcharge to P500 from P400 for flights from Manila to points in Mindanao such as Davao, Cotabato, Gen. Santos, Zamboanga, Butuan, Cagayan de Oro, Dipolog, Ozamis, Pagadian and Surigao.

For flights from Manila to Visayan destinations such as Tagbilaran, Dumaguete, Cebu, Tacloban, Bacolod, Iloilo, Roxas, Kalibo or Laoag, Cebu Air is looking to raise the fuel surcharge to P400 from P300.

The airline is also planning to collect higher fuel surcharge of P350 from a previous fee of P300 from passengers with flights from Cebu to points in Luzon such as Puerto Princesa and Clark, as well as in destinations in Mindanao like Zamboanga, Davao and Gen. Santos.

Cebu Air is looking to apply a higher P350 fuel surcharge from a previous fee of P300 for flights from Cagayan de Oro to Iloilo and flights from Davao to Iloilo as well.

Flights from Manila to Legaspi, Puerto Princesa, Busuanga, Cauayan or Tuguegarao stand to see a rise in fuel surcharge to P350 from P250.

Passengers flying from Manila to Naga or San Jose, from Cebu to Kalibo or from Zamboanga to Tawi-Tawi, meanwhile, will be imposed with a higher P300 fee compared to the previous P250.

Fuel surcharges are part of airline ticket prices which allow the carrier to recover the cost of fuel, which account for the bulk of an airline’s operating costs.

The International Air Transport Association’s price monitor showed that jet fuel prices reached $137.1 per barrel as of March, up 9.7 percent from the same period last year and 6.1 percent higher compared to the previous month.

The CAB said a hearing for Cebu Air’s petition has been set on March 22.

Cebu Pacific started to collect fuel surcharges from its passengers in March last year.


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