CAAP announces nationwide reduction in airport fees to counter rising global fuel costs

In a proactive move to safeguard the aviation industry and ease the financial burden on the traveling public, the Civil Aviation Authority of the Philippines (CAAP) officially announced a significant reduction in aeronautical fees and Passenger Service Charges (PSC).

The new rate structure will take effect on April 1, 2026, across all CAAP-managed airports nationwide.

The decision comes as a direct response to the continued volatility of global crude oil prices, which has placed immense pressure on airline operational costs and, consequently, ticket pricing. By lowering the overhead for both carriers and commuters, CAAP aims to maintain the momentum of the country’s tourism recovery and ensure air travel remains accessible.

The relief package targets two primary areas:

1. Aeronautical Fees: These charges, which include landing, take-off, and parking fees paid by airline operators, will be adjusted downward to help carriers absorb rising fuel expenses without passing the full cost to consumers.

2. Passenger Service Charge (PSC): Commonly known as the “terminal fee,” this reduction will apply directly to the tickets of departing passengers, providing immediate “out-of-pocket” savings for domestic and international travelers.

“Our priority is to ensure that the Philippine aviation ecosystem remains resilient amidst global economic headwinds,” said the CAAP Director General. “By reducing these fees, we are providing a necessary fiscal cushion for our airline partners while ensuring that the Filipino people and our international visitors are not priced out of the skies.”

The CAAP confirmed that despite the reduction in fee collection, safety and security standards across all facilities will remain uncompromised. The authority is currently coordinating with airline stakeholders and terminal operators to ensure a seamless transition for all tickets issued on or after the April 1st effectivity date.