TO BETTER accommodate narrowbody jets like Airbus A320 and Boeing 737, the Department of Transportation will be embarking on a runway upgrade program to bring up to 2,100 meter standard runways except for those with topographical constraints.
Transportation Acting Secretary Giovanni Z. Lopez said the runway upgrade program is being positioned as a means to ultimately lower air ticket prices as airlines benefit from the scale offered by switching to narrowbodies from the turboprop aircraft that currently serve smaller airports.
The Air Carriers Association of the Philippines said airports with shorter runways involve higher costs, making service to many domestic destinations challenging.
VISAYAN AIRPORTS
The DOTr has said it is working to expand the runway of Calbayog airport in Samar and is conducting a feasibility study to upgrade Siargao airport.
Together with the Civil Aviation Authority of the Philippines (CAAP), the transportation agency likewise hinted at pushing to get key airports night-rated to give passengers the option of more night or early-morning flights, which also have the potential to lower fares.
Lopez said CAAP and DOTr are also considering the possibility of reducing air travel costs and improving tourism.
Reducing air travel costs to boost tourism involves enhancing airport infrastructure, such as extending runways to 2,100 meters for larger, more efficient aircraft and “night-rating” airports for increased capacity.
CHEAPER AIRFARE
Governments and airlines are collaborating to lower fares, particularly for top tourist destinations, while addressing high fees.
Among the key strategies to reduce air travel costs are: infrastructure upgrade (extending runways at regional and provincial airports for larger jets, reducing the cost per seat); night-rated airports for early morning/late night flights, increasing airport capacity; reducing charges like airport fees, gate rentals, landing fees and terminal fees; and encouraging low cost carriers (LCCs) and negotiating with airlines to lower fares on key routes.
IMPROVING TOURISM
Similarly, strategies identified to improve tourism via air travel have been identified:
- Launching more domestic and international flights, especially to tourist spots like Siargao for increased accessibility
- Addressing high hotel rates, food costs, and poor connectivity alongside airfares is crucial for a complete tourism experience
- Using data on booking trends, seasonality, and traveller behavior helps in managing and sustaining route development
- Identifying high-spending, long-stay tourists and creating specialized, lower-cost packages.
These initiatives aim to make domestic travel more affordable, countering the trend where regional flights are expensive and boosting overall tourism.
EMULATING NEIGHBORS
Because of the dismal performance of the tourism sector in the past years compared to winners in the ASEAN and Asian neighbors, Tourism Secretary Christina Garcia-Frasco hinted at pushing for stronger regulation and greater transparency in airline pricing as rising airfares threaten to curb domestic travel despite record-high tourism demand nationwide.
Frasco during a Senate Committee on Tourism hearing last Tuesday urged regulators to keep air travel affordable and accessible to Filipinos.
Such clear and transparent publication of just and reasonable airfare rates is required by law, she stressed.
CAB GETS THE BLAME
She also pushed for closer scrutiny by the CAB to address growing public concern over escalating ticket prices. She said as holders of public franchises, airlines are bound to balance commercial interests with public service.
She cited Republic Act No. 11682, which places airline operations under government regulation to ensure fair and transparent pricing.
“We are one with the Filipino public in calling for a comprehensive approach towards managing ticket prices, improving infrastructure, and enhancing accessibility overall,” Frasco said.
ECONOMIC BACKBONE
Domestic tourism remains a backbone of the Philippine economy.
More than 134 million local trips were recorded in 2024, valued at over $70 billion, surpassing pre-pandemic levels and marking the highest domestic tourism share in Southeast Asia, reported the Manila Bulletin.
Despite the surge, senators and industry stakeholders warned that persistent accessibility challenges—particularly high airfares—could undermine the sustainability of domestic travel, especially to island and regional destinations.
Senate Committee on Tourism chair Sen. JV Ejercito said expensive airfares often reflect inadequate facilities and neglected infrastructure.
Ejercito called for a long-term development plan to ensure airports, seaports, and transport hubs meet global standards beyond political cycles.
AIRPORT FEES, TAXES
Air Carriers Association of the Philippines (ACAP) Rep. Jose Enriquez Perez de Tagle cited higher airport fees, taxes, and routing limitations as factors driving up ticket prices.
He added that restricted runway capacity at several domestic airports limits aircraft size and flight frequency.
Destinations such as Siargao, Palawan, and Basco remain largely dependent on turboprop aircraft, which constrains seat supply and pushes fares higher.
MULTI-AGENCY WORK
The DOT continues to coordinate with the CAB, Department of Transportation (DOTr), Department of Trade and Industry (DTI), and the Philippine Competition Commission (PCC), he said.
The effort aims to align regulation, infrastructure development, and consumer protection.
Frasco said the DOT has requested the CAB to present a monthly airline ticket pricing index to enhance transparency. The index could prevent sudden market shocks and allow regulators to explore possible fare ceilings.
“Without strict implementation and without revisiting airline deregulation, it is very difficult for the DOT to manage a matter that is simply not within its mandate,” Frasco said.
MORE INT’L FLIGHTS
Frasco said that in 2025 alone, the DOT supported the launch of 23 new international flights linking major gateways such as Manila, Cebu, Clark, Iloilo, and Kalibo to overseas cities.
She said affordable domestic connectivity is crucial in dispersing tourists nationwide and maximizing the impact of international arrivals.
Sen. Loren Legarda stressed that airfare, infrastructure, and security issues require a whole-of-government approach. She added that the DOT cannot address these challenges on its own.
“They are not the ones who allocate budgets or build airports—this is why we need to support them,” Legarda said, warning that high travel costs and negative perceptions could discourage visits even to the country’s top destinations.