DOTR Releases an Official Statement About the Unpaid Charges of Philippine Airlines (PAL)

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The Department of Transportation (DOTr) released an official statement through their social media account about the controversial statement of Pres. Rody Duterte earlier giving a 10-day ultimatum to Lucio Tan to pay their alleged obligations to the Philippine government or he will order for the closure of the airport for PAL.

See Also: PAL Vows to Cooperate with Duterte Admin to Settle Debts

According to DOTr, PAL’s unpaid obligations or total collectibles of the national government is at P6,9865,146,149.63 as of July 2017.

PAL already paid to CAAP a total of P370 Million but the national government made a final demand for PAL to pay for the Full Payment of All unpaid charges.

Here’s the Complete Statement of DOTr:


PAL’s unpaid navigational fees and other charges due to government, as of 26 September 2017, is as follows:

Payable to CAAP:
Current – PHP 370,583,588.96 for January – July 2017

Arrears – PHP 6,594,562,560.67 for December 2015 and prior

Total Collectible – PhP 6,965,146,149.63, as of 30 July 2017

Payable to MIAA:

Current – PhP 322,112,385.00, as of 26 September 2017

Upon instruction of Department of Transportation (DOTr) Secretary Arthur P. Tugade, letters have been sent to PAL as early as August 2016 demanding full payment of all unpaid charges.

As a result, discussions were undertaken with PAL to reconcile invoices and documents, which led to PAL’s payment to CAAP of PHP 370 million.

PAL also requested to discuss the possibility of paying its arrears in 7 years. All such requests have been denied.

Thus, FINAL DEMAND for FULL payment of ALL unpaid charges has been sent to PAL, preparatory to the filing of appropriate legal action in order to protect the interest of government. ###

Source: DOTr FB Page

Ed Umbao

Founder of | co-Founder of

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