Gov’t defers action on terminal fee

MANILA, Philippines - The Manila International Airport Authority (MIAA) has deferred by a month the implementation of the integration of terminal fee into the cost of airline ticket to reduce queuing time at the congested Ninoy Aquino International Airport (NAIA).

MIAA said the P550 international passenger service charge or terminal fee would have to be integrated into the cost of airline ticket at point of sale starting Nov. 1 instead of Oct. 1.

“Implementation of the integration of the IPSC or better known as airport terminal fee into the airline ticket has been moved from Oct. 1 to Nov. 1,” MIAA said.

The deferment of the implementation would give airlines and travel agencies more time to integrate the terminal fee into their systems and at the same time iron some kinks on the issue of refund for those exempted from the payment of terminal fee.

MIAA said overseas Filipino workers with certification from the Philippine Overseas Employment Administration (POEA); pilgrims endorsed by the National Commission on Muslim Filipinos; athletes endorsed by the Philippine Sports Commission (PSC); and others authorized by the Office of the President are exempted from paying the terminal fee.

The terminal fee is collected from the exempted passengers of the airline tickets are purchased online or abroad and if no exemption certificate is presented when tickets are purchased over the counter.

However, MIAA said the terminal fee could be refunded at NAIA upon presentation of overseas employment certificate, electronic ticket, boarding pass, and MIAA exemption certificate.

Last June 11, Transportation Secretary Joseph Emilio Abaya announced that MIAA has concluded talks with international air carrier representatives to incorporate the terminal fee in the price of airline tickets to help address the congestion problem for departing passengers at NAIA that is now being addressed by the Department of Transportation and Communications (DOTC).

The new policy would free up a sizeable area since the existing terminal fee counters would be removed and would put the Philippines at par with international standards and practices as the country is the only member country of the Association of Southeast Asian Nations (ASEAN) that collects terminal fees on a face-to-face basis at the airport.

The DOTC has also instructed the Mactan-Cebu International Airport Authority (MCIAA), the Clark International Airport Corporation (CIAC), as well as the Civil Aviation Authority of the Philippines (CAAP), which operates the country’s airports besides NAIA, Cebu, and Clark to incorporate the terminal fee into the cost of airline tickets.

The P550 IPSC collected by MIAA is essential to the continued operations of the airport. Out of this amount, P390 is MIAA’s share for maintenance and upkeep, P100 goes to the National Government, and P60 is for aviation security.