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NOVEMBER 2017

Addendum

Air fares in the Philippines 77% lower than a decade ago

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November 1st 2017

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Speaking at an International Air Transport Association aviation (IATA) day in Manila last month, the association’s director general, Alexandre de Juniac, said that in 2016 air fares in the Philippines were 77% cheaper than they were in 2006. Read More »

“Over the same period, the number of destinations served directly by the Philippines increased from 40 to 55 and passengers travelled almost tripled from 24 million to 64 million,” he said.

De Juniac was making the industry’s case against advocates of air fare caps in the Philippines. “Airlines offer a wide variety of fares at different price points to satisfy customer needs. Introducing government imposed fare caps would likely have the unintended consequence of reducing deeply discounted fares. If airlines cannot charge a premium for ultimate flexibility, then covering costs will likely lead to a rise in average fares,” he said.

De Juniac also urged the Philippine government to avoid implementing a tourism tax and abandon a proposed Green Fee. “The proposed Green Fee is misguided and should be abandoned. Governments through the International Civil Aviation Organisation (ICAO) have agreed to a global approach to climate change. There is CORSIA, an agreed carbon offsetting and reduction scheme for international aviation,” he said.

“The cause of sustainability is best served by the Philippines supporting this global approach and volunteering to participate in CORSIA. See Shooting for stars.

 

 

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