MANILA — Airline fuel surcharge is projected to go down in September as crude oil prices fall, the Civil Aeronautics Board (CAB) said on Friday.
"Effective September 1, magiging ano po iyan, bababa ng 26 percent, from level 12 ay magiging level 9 po tayo," said CAB Executive Director Carmelo Arcilla.
"Bagama’t hindi po naman kalakihan, pero significant naman," he said in a televised public briefing.
(Effective Sept. 1, it will go down by 26 percent, from level 12, it will go down to level 9. It may not be that high, but it's significant.)
For instance, airlines may collect a fuel surcharge of around P740 per passenger for a one-way domestic flight between Cebu and Manila under level 12. The surcharge will drop to around P520 under level 9, allowing a passenger to save some P400 for a round trip, he said.
"We hope and pray that the trend will continue although it is very early to say dahil volatile pa nga ang presyo at hindi pa natin masabi, kasi kapag tiningnan mo iyong graph, parang lagare siya – akyat-baba, akyat-baba. Sana naman po ay maging stable para sa kapakanan naman ng ating riding public," Arcilla said.
(Fuel prices are still volatile, when you look at the graph, it keeps going ip and down. We hope it will get stable for the sake of our riding public.)
CAB earlier said the applicable fuel surcharge is determined based on one month's average of jet fuel MOPS (Mean of Platts Singapore) prices in its peso-per-liter equivalent.
Crude prices soared to $140 per barrel in early March after Moscow invaded Ukraine. Oil prices have dropped by a quarter since June.
— With a report from Agence France-Presse