Travelers should prepare for higher airfare costs in March as the Civil Aeronautics Board (CAB) has announced an increase in fuel surcharges for domestic and international flights. The surcharge level will move up from Level 4 to Level 5, effective March 1 to 31, 2025, marking the first adjustment in five months.
What Does This Mean for Passengers?
Passengers on domestic flights will pay a fuel surcharge ranging from P151 to P542 per one-way ticket, compared to the current P117 to P342. For international routes, the surcharge will range from P498.03 to P3,703.11, up from P385.70 to P2,867.82, depending on the destination.
This adjustment follows a recent increase in global jet fuel prices. The International Air Transport Association (IATA) reported a 0.5% rise in the average price of jet fuel, reaching $96.11 per barrel as of February 14, 2025.
Fuel surcharges are separate from base fares and may be imposed at the discretion of airlines. CAB emphasized that while the surcharge increase allows airlines to adjust ticket prices, they are not required to do so.
Any airline opting to apply the surcharge must submit a formal request to CAB before March 1. The applicable exchange rate for the surcharge period is $1 = P58.46.
Airlines Adjust Fares, but Promotional Deals Remain Available
Despite the expected fare increase, airlines are implementing strategies to keep flights affordable. Cebu Pacific President and Chief Commercial Officer Xander Lao assured travelers that the airline remains committed to offering competitive fares.
“With summer travel approaching, we encourage passengers to book early and take advantage of our lowest fares,” Lao stated.
Similarly, AirAsia Philippines Communications Head Steve Dailisan highlighted the airline’s ongoing promotional efforts.
“We understand that this change may have a slight impact on guests’ travel plans, which is why our Piso Fare promotion is perfectly timed for those looking to save on costs,” Dailisan said.
AirAsia has launched a 400,000-seat sale promo available until February 23, covering both domestic and international flights.
Rising Travel Demand and Fuel Costs Impact Airfare Prices
The surcharge adjustment coincides with a strong recovery in air travel. CAB data shows that total passenger volume in 2024 reached 59.91 million, approaching pre-pandemic levels. Domestic air travel recorded a 10.9% increase, while international passenger volume grew by 12%.
As demand for air travel continues to rise and fuel prices fluctuate, airfare costs are expected to remain dynamic. Passengers are encouraged to book in advance and take advantage of promotional fares to mitigate the impact of higher surcharges.
