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CAB: Some foreign carriers eye to charge terminal enhancement fees

CAB: Some foreign carriers eye to charge terminal enhancement fees – BusinessWorld Online


      
      
      
      
      








PHILIPPINE STAR/RYAN BALDEMOR

SOME FOREIGN CARRIERS are also seeking approval to collect terminal enhancement fees to offset rising costs at the Ninoy Aquino International Airport (NAIA), according to the Civil Aeronautics Board (CAB).

“There are also foreign carriers, just a few of them. They are dealing with this as a group… They are in the wings, just waiting to see what will happen with the locals. They indicated that they are going to file,” CAB Executive Director Carmelo L. Arcilla said during a press briefing on Monday.

These foreign carriers have not formally submitted proposals to collect the fees but have expressed their intention to do so, Mr. Arcilla added. He declined to identify the carriers involved.

Last year, local airlines including Philippine Airlines, Cebu Pacific, and AirAsia Philippines requested CAB approval to impose a terminal enhancement fee amid increased charges at NAIA.

Since taking over NAIA operations, private operator New NAIA Infra Corp. (NNIC) has raised landing, takeoff, and other fees.

The airlines proposed a terminal enhancement fee of P150 for domestic roundtrip flights and up to P300 each way for international flights.

The fee would be charged separately from the base fare and itemized distinctly on passenger receipts, similar to fuel surcharges and value-added tax.

CAB is still reviewing the proposals and has not set a timeline for a decision.

“We have not set a timeline [to come up with a decision] because the proposal is significant; we are not in a hurry. This will take time,” Mr. Arcilla said.

The Department of Transportation earlier said airlines could opt to include the terminal enhancement fee in the base fare.

“That is the prerogative of the airlines. If they perceive that is the cost, the cost will be factored in the overall price. That is the call of the airlines,” he said. — Ashley Erika O. Jose

CEDTyClea





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