In response to mounting concerns over soaring airfare rates to one of the country’s top tourist spots, Philippine Airlines (PAL) has agreed to set a ceiling of P11,000 for one-way flights to or from Siargao, according to the Department of Transportation (DOTr).
DOTr Acting Secretary Giovanni Lopez confirmed the development during the agency’s budget hearing at the House of Representatives, following a question from Surigao del Norte Representative Francisco “Lalo” Matugas. Matugas had called attention to the “exorbitant” prices being charged for flights to the island province.
“Meron na pong kasunduan with PAL,” Lopez said, revealing that the previously reported P17,500 one-way fare will now be capped at P11,000. He added, “Bigyan niyo lang po ako ng kaunti pang panahon, baka makahingi pa po tayo ng diskwento.”
Lopez clarified that this fare cap refers to the maximum amount PAL can charge, not the average fare. He said typical rates usually range from P7,500 to P8,000.
Matugas welcomed the reduction but stressed that a roundtrip fare of P22,000 remains excessive for ordinary travelers. “Mataas pa rin iyong P22,000. Hindi kasi maintindihan ng mga constituents ko why it is so high,” he said, even questioning if any laws regulate such pricing practices.
In response, Civil Aeronautics Board (CAB) Executive Director Carmelo Arcilla explained that the high fares are partly due to Siargao airport’s limited infrastructure. Only smaller aircraft, which can carry up to 72 passengers, currently operate in the area—making each flight more costly compared to larger planes that serve other destinations.
“It is really because of the airport size,” Arcilla said. “If you have small planes, there are a lot of fixed operational costs such as landing, takeoff, crew. That is why the goal of the new Secretary is to extend Siargao airport’s runway.”
Lopez assured lawmakers that the DOTr is already taking steps to secure funding for the runway extension, either through the 2026 national budget or the corporate operating budget of the Civil Aviation Authority of the Philippines (CAAP).
“We already have a plan for that,” he said. “We are doing inspections on the site, checking where we can extend, because there are also areas with mangroves there.”
Lopez promised to provide updates next week, raising hopes that further fare reductions may soon follow.
