Metro Manila, Philippines – The Department of Transportation (DOTr) has confirmed a looming fare hike amid rising fuel costs, as public utility vehicle drivers warn that the Middle East crisis is taking its toll on livelihood.
In a press briefing at Malacañang on Wednesday, March 11, Transportation Secretary Banoy Lopez said the Land Transportation Franchising and Regulatory Board (LTFRB) is expected to release its decision on petitions to raise fares for some public transport next week.
“I’m asking LTFRB to re-crunch the numbers. Tingnan niyo mabuti ano ba iyon. This is not only a provisional. If we’re going to do something, baka mas meron pong sinasabi natin, may provisional na ngayon, dadagdagan ba natin ang provisional o ang provisional, gagawin na nating permanent,” he said.
[Translation: I’m asking the LTFRB to re-crunch the numbers. Look closely at what it really is. This is not only about something provisional. If we are going to do something, maybe we should clarify what we are saying—there is already a provisional measure now. Are we going to add to the provisional measure, or are we going to make that provisional measure permanent.]
Orlando Marquez, president of the Liga ng Transportasyon at Operators sa Pilipinas, told lawmakers on Wednesday a P2 hike in jeepney fares is needed, raising the current P13 minimum fare to P15.
However, Mar Valbuena, chairman of transport group Manibela, said raising fares should be the government’s last resort with its impact on consumers.
“Ang problema po dito, kapag nagkaroon ng inflation dahil sa logistic costs at saka doon sa pagtaas ng bilihin dahil magkakaroon ng domino effect, wala din pong magiging saysay sa mga tsuper ito dahil ang kikitain namin, maidagdag lang sa presyo ng mga bilihin,” he said.
[Translation: The problem here is that if inflation happens because of logistic costs and the increase in the prices of goods – creating a domino effect – then it will also be pointless for the drivers. Whatever we earn will just end up being added to the prices of goods.]
The UV Express alliance also appealed to have them included in the fare hike.
Fuel subsidy not sufficient
To address price spikes, the DOTr plans to roll out a one-time fuel subsidy, which Lopez said may be carried out in April.
The agency said it needs a certification from the Department of Energy to release the P2.5 billion subsidy – when the average price of Dubai crude oil reaches or exceeds $80 per barrel within a month.
The subsidy for traditional jeepney drivers may be ₱5,000 and ₱10,500 for modern jeeps.
Valbuena said this won’t last long. He also questioned the higher subsidy for modern jeepney drivers.
“Sa excise tax, pare-pareho lang kaming P6 ang pinapatong sa kada litro. Bakit ganun kalaki ang fuel subsidy sa modernized sa traditional,” he said.
[Translation: When it comes to the excise tax, we are all paying the same ₱6 added per liter. Why is it that the fuel subsidy for modernized vehicles is so much larger than for traditional ones?]
Greg Pua, LTFRB board member, explained the proposed fuel subsidy breakdown is based on fuel use, noting that modern jeeps consume more.
For the meantime, the DOTr announced a one-time ₱5,000 aid for tricycle drivers and public utility drivers under the assistance to individuals in crisis situations of the Department of Social Welfare and Development.
