Terminal fee to be included in airfare

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Sunday, May 20, 2012

THE management of Mactan-Cebu International Airport Authority (MCIAA) is finalizing the draft Memorandum of Agreement (MOA) to include the passenger service charge (PSC) or terminal fee in the cost of airline tickets.

MCIAA General Manager Nigel Paul Villarete said they included the matter in the MCIAA board agenda last January yet. He said there are some issues that still need to be ironed out, especially on exemptions provided by law and the remittance procedures.

In the Province, Gov. Gwen Garcia said terminal fees for sea travel will also be incorporated soon in the ship ticket.


Yesterday, the Manila International Airport Authority (MIAA) said it has signed a MOA with airline companies to integrate airport terminal fees at the Ninoy Aquino International Airport (NAIA) into the ticket prices.

This move will make travel more convenient for passengers.

The Government was represented by MIAA General Manager Jose Angel Honrado while the airline companies were represented by top executives.

“During the signing ceremony at NAIAA last Thursday, DOTC Secretary Mar Roxas has already directed us to finalize the procedure for MCIAA. Eventually, this will be implemented for all airports serving commercial airline operations all over the country,” Villarete said.

He said the MOA for MCIAA and the same airline companies will be similar to that of MIAA.

“There may be a few differences to take case of certain existing policies here, but we are confident this can be ironed out soon. We are hoping to present a draft to the MCIAA Board by end of the month. If it is approved, we can implement the same at the same schedule as NAIA, which is Aug. 1, 2012,” Villarete said.

The integration of the terminal fee in the cost of airline tickets was previously rejected by airline companies.

Airlines have different fare computations to grant exemptions granted by the government to different passenger groups such as athletes, overseas Filipino workers (OFWs), senior citizens and babies under two years old.

With the integration, passengers will just pass initial security screening upon entering the terminal, check in to get their boarding passes, and pass the final security check. They don’t need to line up to pay terminal fees anymore.

For sea travel in the Province, Garcia cited as example the long queue at the Danao Port for terminal fee payments.

With the integration of the terminal fee with the ticket fee, the lines will be eliminated and the terminal traffic will ease.

The port agency is yet to act on the governor’s suggestion.

She said Danao Port accommodates 200 passengers every hour.

“I already discussed this with the Cebu Ports Authority and told them to let the shipping companies collect the terminal fee,” Garcia said.

She said there’s a need to improve port activities in Camotes and other tourist destinations in Cebu to attract more tourists.

Published in the Sun.Star Cebu newspaper on May 20, 2012.

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