MANILA – Aviation officials have defended the looming increase in aeronautical charges at the Ninoy Aquino International Airport (NAIA), in response to stakeholders seeking guidance and clarifications on the proposed increased rates for the use of airport facilities.
"Airlines are seeking clarification on how the rates were computed," Manila International Airport Authority (MIAA) Acting General Manager Eric Jose Ines said in an interview on Friday.
The MIAA recently received a letter from the Air Carriers Association of the Philippines (ACAP), Board of Airline Representatives (BAR) and Airline Operators Council (AOC) regarding proposed fee hikes, the basis of the increase and if the increase followed due process.
In a response letter signed by Ines and Undersecretary for Aviation and Airports Roberto Lim, the MIAA said it has complied with the administrative requirements for the increased rates in fees and charges as provided under relevant laws and issuances.
"MIAA has communicated that the airport needs very significant capital investment to bring it up to an acceptable service standard for passengers, to improve safety and to increase the number of landing and take-off slots available for airlines," the letter read.
Ines and Lim added that the fees and charges at NAIA have remain unchanged since the issuance of Administrative Order 1, series 2000.
They also noted that the proposed regulated aeronautical charges "are lower than the cumulative inflation from 2000 to present, except for the landings and takeoff fees which are bundled with lightning fees, noise and emission charges, and the recovery of cost for modernization of air traffic control equipment that would enable the optimization of runway capacity."
The officials further highlighted the increased volume of passengers at NAIA.
"It would appear that the market demand is strong and would be able to accept a small additional increase in air fares if the adjustments in AO-1 were to be passed through to passengers by the airlines in full," they said.
They cited that the air fares in 2023 were substantially higher than in 2018 and 2019 and the total passenger volume at the NAIA in 2023 exceeded the 2018 figure.
The current passenger traffic is well above the airport's design capacity, indicating the need for urgent capital investment to facilitate more traffic.
"It should be noted that the tourists do not simply look at the cost of air transport. They also consider various factors such as accommodation, dining, local transportation, among others... Therefore, the increase in air fares will have at most, a very marginal impact on the total cost of a holiday in the Philippines," the officials added.
Meanwhile, Ines and Lim said they are open to discuss with the concerned stakeholders the rebate mechanism for international landing and takeoff fee in finalizing the increases in fees and charges.
According to Ines, the proposed rates are currently under evaluation and further study of the Office of the Executive Secretary. (PNA)