Mactan-Cebu Airport increases terminal fee to fund expansion

13 October 2014 (Last Updated October 13th, 2014 18:30)

Passengers leaving the Mactan-Cebu International Airport in Philippines after 1 November will need to pay PHP220 ($4.91), an addition to the current amount of PHP20 as a passenger service charge (PSC).

Passengers leaving the Mactan-Cebu International Airport in Philippines after 1 November will need to pay PHP220 ($4.91), an addition to the current amount of PHP20 as a passenger service charge (PSC).

The airport will further add another P80 from 1 January 20016. The Mactan-Cebu International Airport Authority (MCIAA) board approved the staggered implementation of the terminal fee after two public hearings that were held since September.

"It is our hope that MCIA not only evolve as a major contributor to Cebu's tourism and business development."

The board approved the increase in terminal fee to help fund the expansion and cover increasing operating costs, as well as comply with the 25-year concession agreement between MCIAA and private airport operator GMR-Megawide Cebu Airport Corporation (GMCAC).

In a statement released by MCIAA, the board said its projected investments, along with those of GMCAC, are vital to ensure high safety standards at the airport and to provide a world-class airport experience to all its users and passengers and that the revision will help fund new investments to cater to growing airline and passenger traffic.

"It is our hope that MCIA not only evolve as a major contributor to Cebu's tourism and business development, but as a vital and pivotal focus of the economic development growth of the entire country," the statement said.

The increase in fee coincided with the takeover of the domestic and international terminal operations in Mactan by GMRCAC.

Of the PHP750 ($16.74) charge for international passengers, PHP181 ($4.04) or less than 25% will go to GMR-Megawide and the bulk will go to MCIAA, aviation security, the Civil Aviation Authority of the Philippines (CAAP) and the airline companies that collect the PSC by integrating it in the airline ticket's price.