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Business

No air fare hike seen in August

Elijah Felice Rosales - The Philippine Star

MANILA, Philippines — Airlines hope that Filipinos will pursue their travel plans in August despite the rainy weather, as they will keep air fares steady in compliance with the government’s order.

Domestic carriers Philippine Airlines (PAL) and Cebu Pacific will keep ticket prices the same in August after the Civil Aeronautics Board (CAB) maintained the fuel surcharge at Level 4 for the third consecutive month.

PAL spokesman Cielo Villaluna said the flag carrier, similar with other airlines, looks at the price of jet fuel when making adjustments in its air fares.

“The fuel surcharge level, pegged anew at Level 4 and relatively lower than in past periods, is a welcome development. In the Philippine Airlines, we offer a variety of fares, enabling travelers to avail of lowered fares if they book early,” Villaluna told The STAR.

Also, Cebu Pacific president and chief commercial officer Xander Lao said the low-cost carrier would price flight tickets at the same rate in August. Cebu Pacific plans to keep airfares affordable to sustain the demand for air travel during the rainy season.

“With the fuel surcharge staying put, this should keep the momentum for high travel demand and yet, keep airfares affordable for our passengers,” Lao told The STAR.

“We hope this encourages more people to proceed with their travel plans in the second half of the year and Cebu Pacific is committed to providing safe, reliable and affordable air transport for every Juan,” he said.

The air travel market is regaining momentum   as shown by the passenger traffic at Ninoy Aquino International Airport (NAIA).

The Manila International Airport Authority reported that passenger volume in NAIA grew by 78 percent to 22.22 million in the first semester from 12.49 million a year ago. The airport received 22.41 million travelers in the first half of 2019.

In an advisory, CAB ordered airlines to keep their fuel surcharge for August at Level 4, the same rate it has been since June. This means that carriers can impose a fuel surcharge of P117 to P342 for domestic flights and P385.7 to 2,867.82 for international trips.

Airlines may collect fuel surcharge from their guests to recoup losses arising from the movement of prices in jet fuel.

For the year, PAL is aiming to fly a total of 14.5 million passengers, while Cebu Pacific is eyeing to exceed its pre-pandemic total of 22.48 million in 2019.

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