APO seeks subsidy to avoid passport fee hike

The public will not be asked to shoulder a proposed increase in passport fees, with the government-owned APO Production Unit Inc. instead seeking a subsidy to cover rising production costs.

APO President Atty. Gil Carlos Puyat gave the assurance last week during the Senate’s briefing on the company’s proposed 2027 budget, saying APO is not asking for the passport processing fee to be raised from the current ₱900 to ₱1,500.

“We are not asking for the increase of the price to the public. But what we are really asking for is a subsidy, that the DFA include that in their budget,” Puyat said.

APO produces passports under a mandate from the government and has asked the Department of Foreign Affairs (DFA) to consider providing additional funding as the cost of materials, logistics and other inputs continues to rise.

Puyat said the passport price has remained unchanged since 2016 despite higher operating costs.

“The reason for this, your honor, is because the price has been frozen since 2016. With the recent war in Iran, the prices of raw materials and logistics have gone up and so has our foreign exchange. Also inflation has been affecting us. We are just hoping that the discussions may move forward, that’s why we wrote a letter,” he added.

Senate Committee on Finance Chairperson JV Ejercito asked whether APO could be forced to stop operations if it does not receive a subsidy.

Puyat said the matter would have to be discussed further with the DFA.

Ejercito said he had also raised the issue with the DFA Secretary, with Senator Erwin Tulfo present, stressing that the priority is to ensure an uninterrupted supply of passports.

“We also asked DFA Secretary, with the presence of Senator (Erwin) Tulfo din, to resolve this issue and to recommend, if need be, if we can subsidize. Tignan natin kung kakayanin natin dahil nga limitado yung galaw natin dito, limitado yung budget natin, but the last thing we want to happen, Mr. Chair, is mawalan tayo ng passport supply,” Ejercito said.

Senate Deputy Majority Leader Joel Villanueva supported exploring a government subsidy instead of immediately increasing the passport fee.

“Ang sa akin lang, Mr. Chairman, is kung masa-subsidize ng gobyerno yung increase, kaysa mag-increase, kahit nga huwag lang ngayong taon or puwede mo naman next year, magkaroon lang ng another option if we can subsidize it through this General Appropriations Act. Ma-subsidize tapos sa susunod na lang i-increase, puwede rin ho, ang sa akin lang may options tayo available for us,” Villanueva said.

Senator Bong Go also opposed increasing the passport processing fee and expressed support for providing a government subsidy instead.

The issue remains subject to discussions among APO, the DFA and lawmakers as the government works to maintain passport production without immediately passing higher costs on to the public.