CAB keeps fuel surcharge at Level 4 for November

THE Civil Aeronautics Board (CAB) has retained the passenger fuel surcharge at Level 4 for November, keeping fuel charges steady for the fourth consecutive month.

At Level 4, the passenger fuel surcharge will range between P117 and P342 for domestic flights, and between P385.70 and P2,867.82 for international flights originating from the Philippines.

For airlines collecting fuel surcharges in foreign currency, the applicable rate for the period will be P57.57 per dollar, the CAB said in its advisory on Tuesday.

Fuel surcharges are adjusted based on movements in jet fuel prices, using the Mean of Platts Singapore (MOPS) benchmark.

For the week ending Oct. 17, the International Air Transport Association (IATA) said jet fuel prices averaged $89.56 per barrel, declining by 1.7% week on week.

On an annual basis, the global average jet fuel price dropped 9.6%, IATA said.

Jet fuel prices are projected to average $86 per barrel in 2025, below last year’s $99 average, translating to about $236 billion in fuel costs, or 25.8% of total airline operating expenses. — Ashley Erika O. Jose