AirAsia PH works to resolve government obligations, avert flight disruptions

AirAsia Philippines, the domestic carrier backed by Malaysian tycoon Tony Fernandes, is in talks with aviation regulators to settle key issues tied to unpaid government dues and avoid potential flight disruptions.

InsiderPH learned the airline held discussions with the Civil Aviation Authority of the Philippines on Thursday with the goal of ensuring continued operations.

“There will be no interruption in operations,” the airline insider said, adding that both sides are moving to reconcile figures. The airline is also clarifying the P833.7 million in unpaid  navigation, landing, and passenger service charges. 

This comes after CAAP issued on March 23 a final demand letter warning of possible sanctions, including limits on airport access and license renewals.

A government source confirmed discussions were held but no final agreement had been reached as of this writing. 

CAAP gave the airline, one of three major carriers operating in the Philippines, five days to settle its obligations, which means the payment should be made by Saturday. 

About the author
Miguel R. Camus
Miguel R. Camus

Miguel R. Camus has been a reporter covering various domestic business topics since 2009.

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