Petro backs regulation of air ticket prices during peak season

President Gustavo Petro endorsed the Ministry of Transport's proposal for airlines to self-regulate ticket prices during the year-end season. Minister María Fernanda Rojas asked the Aeronáutica Civil to enforce this amid expected high demand. However, Iata's Colombia manager, Paola Bernal, attributes high prices to elevated taxes and fees.

On December 29, 2025, President Gustavo Petro publicly backed the Ministry of Transport's initiative to regulate air ticket prices in Colombia, focusing on the year-end season. This came after Minister María Fernanda Rojas asked the Aeronáutica Civil to require airlines to self-regulate and avoid disproportionate increases. "The key word to lower prices is: democratization of slots," Petro wrote on his X account, stressing the need for more airport time slots, new tourist airports, and greater competition from local and international airlines to connect Colombia to all five continents.

Petro warned that concentrating slots in few airlines could lead to monopolistic practices, unjustly raising costs for passengers. He proposed as a structural solution increasing competition, allowing more airlines to enter, and strengthening Satena as a public company. Official projections indicate over 3.2 million passengers will travel from December 19, 2025, to January 5, 2026, with nearly two million on domestic flights and 1.2 million on international ones.

Rojas questioned prices like a ticket to Cartagena costing the same as to Miami, noting that airlines receive state benefits that should result in reasonable fares. She stated the government will support those complying with self-regulation and respecting price ceilings.

Meanwhile, Paola Bernal, Iata's Colombia manager, explained that since 2012, removing floor and ceiling tariffs has boosted competition, cutting base fares by more than 3% for domestic and international flights. However, taxes and fees have risen sharply: they account for 30% of national tickets and over 50% of international ones, above the global average. "Air transport is the only public transport service in Colombia that pays 19% VAT, not only on the ticket but also on aviation fuel," Bernal noted. She recommended maintaining tariff freedom and reviewing the tax scheme, as 75% of consumers are from low-income strata. She attributed cheaper digital platform prices to early-booking strategies to fill flights.

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Photorealistic image of a Colombian gas station displaying a 300-peso gasoline price cut, with joyful customers celebrating the government's announcement.
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Government announces 300-peso gasoline price cut starting February 1

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Building on Minister Palma's recent confirmation of progress, the Colombian government will reduce regular gasoline by 300 pesos per gallon from February 1, 2026. Finance Minister Germán Ávila confirmed the move closes the Fuel Prices Stabilization Fund (FEPC) gap with international prices, easing consumer costs.

President Gustavo Petro announced the end of private road concessions as his government's primary budget-saving measure, shifting management to the state to potentially reduce tolls. This follows the recent confirmation of a 5.30% toll increase starting January 2026 tied to inflation.

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Colombia's Minister of Mines and Energy, Edwin Palma, confirmed the government's efforts to stabilize the Fuel Prices Stabilization Fund (FEPC) and proceed with a gradual adjustment to the gasoline price. This follows President Gustavo Petro's announcement of a fuel price reduction. The minister stated that the exact amount of the cut will be announced on February 1.

Following the December 19 announcement of plans for an economic emergency decree, the Colombian government of Gustavo Petro on December 31 issued the tax package via Decree 1390, targeting 11 trillion pesos to address a 16.3 trillion fiscal deficit after Congress rejected reforms. Finance Minister Germán Ávila noted it covers much but not all 2026 needs, impacting liquor, cigarettes, patrimony, finance, and imports.

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The Colombian Association of Travel Agencies and Tourism (Anato) anticipates a 2026 marked by political uncertainties and moderate economic growth of 2.8%. Key challenges include boosting sector formalization and ensuring traveler safety. Paula Cortés Calle, Anato's executive president, stresses the need for stable public policies and public-private cooperation.

The Ecuadorian government announced a 900% increase in the tariff for transporting Colombian crude through the Transecuatoriano Pipeline, rising from about $2.5 per barrel to over $30. Ecopetrol, impacted by this unilateral measure, is exploring options like exporting via Coveñas to mitigate effects on its southern Colombia operations. Colombia's Ministry of Mines and Energy rejected the decision, calling it an aggression threatening production in Putumayo.

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Neiva's city hall raised public bus fares starting January 1, factoring in inflation and reduced passenger demand. At the same time, the Energy and Gas Regulation Commission increased national reference prices for gasoline and diesel.

 

 

 

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