Manila Airport Hikes Terminal Fee by 72%

NAIA Operator Defends 72% Passenger Service Charge Increase, Citing Urgent Need for Upgrades

The New NAIA Infrastructure Corporation (NNIC), the private operator of Ninoy Aquino International Airport (NAIA), has justified its decision to increase the Passenger Service Charge (PSC) to ₱950 ($16.60), up from the current ₱550 ($9.60)—a 72% hike set to take effect in September 2025.

According to NNIC, the increase is essential to support ongoing airport modernization efforts and to enhance overall passenger experience. The company emphasized that the revised rate is in line with international standards and remains competitive compared to other major Asian airports.

The move, however, has drawn criticism from consumer groups and travelers, with some expressing concern over the impact on local and regional passengers. NNIC clarified that Overseas Filipino Workers (OFWs) will remain exempt from paying the international PSC, as stipulated under existing regulations.

In a statement, NNIC underscored that the PSC adjustment is mandated by the government and marks the first such increase in over two decades. The firm further noted that the decision to implement a public-private partnership (PPP) for NAIA’s operation was made by the government, with the goal of leveraging private-sector funding, expertise, and technology to modernize the country’s busiest airport without relying on taxpayer money.

Since assuming control of NAIA in September 2024, NNIC has recorded over 50 million passengers—a figure far exceeding Cebu’s 11.3 million, the second-busiest airport in the country—underscoring the urgent need for upgrades. Despite its large passenger volume, NAIA's current PSC remains the lowest among major airports in the Philippines and among the most affordable in Asia.

NNIC also noted that the PSC is charged only to departing passengers and only once per journey. Even after the adjustment in 2025, the rate for both domestic and international departures will remain below inflation.

Ongoing Modernization Efforts

NNIC stated that all revenues from PSC collections are reinvested directly into airport operations and service improvements. Since the company took over, enhancements have included:

• Renovated restrooms

• New air-conditioning systems

• Restored elevators and escalators

• New gang chairs and additional baggage trolleys

• Improved Wi-Fi and upgraded CCTV systems

• Expanded curbside lanes and centralized TNVS hub

• A dedicated OFW lounge with rest areas

• Automated parking systems

• Additional shuttle buses and ambulances

A biometric passenger processing system is also scheduled to launch by September 2025.

Preparatory work for Terminals 4 and 5 is currently underway, with the aim of significantly expanding the airport’s capacity. Efforts to clear surrounding waterways are also ongoing, as part of broader flood mitigation and safety measures.