Landing and Take-off Fees at NAIA Increased: What It Means for Airlines and Passengers

The Department of Transportation (DOTr) recently confirmed an increase in landing and take-off fees for airlines using Ninoy Aquino International Airport (NAIA), effective October 1, 2024. This move has already raised concerns within the airline industry, with both AirAsia Philippines and Cebu Pacific voicing their worries over how these changes will impact their operations—and, ultimately, the passengers.

With the cost of operating flights out of NAIA set to rise, airlines have warned that this will likely affect ticket prices. The increased fees come at a time when travelers are just beginning to feel comfortable flying again, following years of pandemic-related restrictions. While the government assures that the price hikes won’t necessarily lead to higher airfares, this development deserves a closer look to see if it’s fair to both airlines and passengers. As a frequent traveler myself, I can't help but wonder: Will we all be paying more just to get from point A to point B?

The Impact on Airlines: Operating Costs and Profit Margins

Let’s first break down how this fee increase affects airlines. AirAsia Philippines was quick to respond to the announcement, stating that these new charges are likely to influence overall ticket pricing. Cebu Pacific echoed similar sentiments, stressing that the changes will impact both airlines and passengers alike.

It’s easy to see why airlines are concerned. Landing and take-off fees are part of their operational costs, and any increase in these fees will either eat into their profit margins or force them to adjust ticket prices. The aviation industry operates on tight margins as it is, and fuel prices, staff wages, and aircraft maintenance already make up a large portion of an airline’s expenses. Add in increased airport fees, and the squeeze gets even tighter.

While Transportation Secretary Jaime Bautista has suggested that airlines could absorb some of these costs, it’s not that simple. Large carriers may have more financial wiggle room to handle these changes, but smaller, budget airlines may find it more difficult to avoid passing the increased fees directly onto passengers. Airlines, especially low-cost carriers like AirAsia and Cebu Pacific, have always thrived on offering affordable fares. A rise in operational costs could challenge their ability to maintain competitive pricing.

What It Means for Passengers: Higher Fares or Surcharges?

Now let’s turn to the question that’s on every traveler’s mind: how will this affect us? As an ordinary traveler who loves to score budget-friendly flights, the idea of rising airfare is frustrating. Though Secretary Bautista has said that the increased fees won’t necessarily result in higher ticket prices, we know how the trickle-down effect works. If airlines can’t absorb all of these additional costs, they’ll likely pass them on to passengers in the form of surcharges or fare increases.

To add more complexity, this isn't just about landing and take-off fees. Starting next year, the New NAIA Infrastructure Corporation (NNIC), which operates NAIA, is also set to increase the passenger service charge. For international flights, this will jump from the current P550 to P950, while domestic flights will see the fee rise from P200 to P390. While these might not seem like massive hikes at first glance, they add up—especially for frequent travelers or families flying together. For a family of four flying internationally, that’s an additional P1,600 just in passenger service charges alone.

Even if airlines manage to keep base fares relatively stable, the added taxes, fees, and surcharges could make flying more expensive overall. It feels like we’re being nickel-and-dimed for every part of the flying experience, and these fee increases will only add to that sentiment.

NAIA’s Upgrade Plans vs. Affordability

Let’s be fair, though. NAIA has long been criticized for its outdated facilities and inefficiencies. If these fee increases are part of a larger plan to improve the airport’s infrastructure and services, there could be a silver lining. A better airport experience would benefit everyone—passengers, airlines, and the tourism industry as a whole.

However, there needs to be a balance. While investing in better facilities is essential, it should not come at the expense of pricing out ordinary travelers. If NAIA’s goal is to align itself with world-class airports, there should be transparency on how the extra revenue from these fees will be used. Will these funds go toward reducing flight delays, modernizing terminals, or improving customer service? Without a clear plan, the fee increases feel more like a burden than an investment in the future.

A Transparent Approach is Needed

As a traveler, I completely understand the need for airports to generate revenue, especially if those funds are earmarked for significant improvements. But what concerns me—and likely many other passengers—is the lack of clarity on how these increased fees will benefit us directly.

Transparency is key here. The government and NAIA’s management need to communicate better about where this money is going and what improvements passengers can expect. If we’re paying more, we should know exactly what we’re getting in return. Otherwise, these increases will feel like yet another cost we have to bear without any tangible benefits.

Moreover, the timing of these changes seems a bit off. Just as the travel industry is bouncing back from the pandemic, placing additional financial burdens on passengers could slow down that recovery. It would make sense to introduce these fee hikes gradually, giving both airlines and passengers time to adjust, rather than implementing them all at once.

A Traveler’s Perspective: The Frustration is Real

As an ordinary traveler, the news of these fee increases leaves me with mixed feelings. On one hand, I understand that upgrading NAIA is necessary, and improvements come at a cost. But on the other hand, it's frustrating to think that the financial burden will likely fall on passengers like me.

Airfare, especially for budget-conscious travelers, has been one of the few things that made travel accessible. If airlines are forced to pass these costs on, flying might become a luxury again for some. And as much as I love traveling, it’s hard not to feel frustrated when prices keep going up without a clear understanding of where that money is going.

Increased landing and take-off fees, along with higher passenger service charges, are a reality we now have to face when flying through NAIA. While these changes may lead to necessary airport improvements, the lack of transparency and the potential for rising airfares leave many travelers, myself included, with concerns.

It’s crucial that NAIA and the DOTr communicate more openly about how these additional funds will be used. If passengers are expected to pay more, we deserve to know exactly what improvements we can expect in return. Only then will these fee increases feel like an investment in a better travel experience, rather than just another cost to bear.

Do you think these increased fees at NAIA are justified? Will they affect how often or where you travel? Or do you see this as a necessary step towards improving our airport infrastructure?

Feel free to share your reactions, concerns, or even personal experiences in the comment section below.