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Foreign airlines seek higher NAIA terminal fee

If approved, airlines — local and foreign — could pass the additional cost to passengers by bundling the fee into ticket prices.
Foreign airlines seek higher NAIA terminal fee
Photograph courtesy of PNA
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Passengers flying through the Ninoy Aquino International Airport (NAIA) could soon face higher costs, as foreign airlines prepare to follow local carriers in seeking approval to collect terminal “enhancement” fees.

In an interview Monday, Civil Aeronautics Board (CAB) executive director Carmelo Arcilla confirmed that international carriers — through groups like the Airline Operators Council and the Board of Airline Representatives — are closely monitoring the outcome of local airline petitions.

“They are waiting. They are in the wings, just waiting for what will happen with the local carriers. They indicated that they are going to file,” Arcilla said.

Last year, local airlines requested permission to collect terminal enhancement fees to offset rising airport charges imposed by New NAIA Infrastructure Corp. (NNIC), the operator of the country’s main gateway. They proposed a P150 one-way fee for domestic flights and P300 for international flights.

According to Arcilla, CAB is still reviewing the proposal, pending final document submissions. He underscored the complexity of the issue.

“This is a significant matter. We won’t rush it. It will take time,” he said.

If approved, airlines — local and foreign — could pass the additional cost to passengers by bundling the fee into ticket prices, though Arcilla said this would depend on each carrier’s strategy.

“It’s the call of the airlines. There are many ways to skin a cat, so to speak,” he said.

Separately, NNIC is set to implement an increase in passenger service charges by September, as part of its concession agreement with the government.

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