Philippine carriers gain approval to raise fuel surcharge
MANILA (XFNews) - The Civil Aeronautics Board (CAB) has allowed Philippine
airlines to raise their fuel surcharge for local and international flights
to recover the cost of higher jet fuel prices, CAB executive director Tomas
"The fuel surcharges being imposed by the carriers are significantly lower than the actual cost of fuel increase per passenger. This is because the airlines need to remain competitive in both domestic and international markets," Manalac said.
The CAB will review the surcharges after six months and may order a reduction once fuel prices have softened.
Jet fuel has risen to more than 70 usd per barrel from 55 usd when fares of local airlines' were increased in November last year, officials of carriers said. Fuel accounts for around 40 pct of an airline's operating expenses.