Metro Manila, Philippines – The Department of Budget and Management (DBM) said it has fast-tracked the release of ₱2.49 billion for fuel subsidy of the transport sector in a regime of rising fuel prices.
In a statement on Friday, Feb. 20, the agency said the fund was allocated to the Department of Transportation’s (DOTr) Fuel Subsidy Program to help drivers and operators “stay on the road without passing on the full burden to commuters.”
Earlier, Acting Transportation Secretary Giovanni Lopez said if the notice of cash allocation is given this week, the DOTr could start the rollout by the last week of March.
Drivers and operators will first benefit from the subsidy, followed by those for jeepneys, taxis, and school services.
Lopez said drivers of motorcycle taxis, TNVS, and delivery riders, while still unregulated, will also get the financial aid.
He has yet to announce the amount per transportation mode.
“It will be a proportionate amount…kailangan namin isaalang-alang ‘yong operating cost ng mga sasakyan,” the DOTr chief said on Tuesday, March 17.
“Mas mataas ang makukuha ng bus kasi mas malaki ang gastusin ng bus pagdating sa krudo,” he said.
[Translation: It will be a proportionate amount. We need to consider the operating costs of vehicles. Bus drivers and operators will receive a bigger amount because they spend more for crude oil.]
The fuel subsidy is on top of the ₱5,000 cash relief assistance public transport drivers will get from the Department of Social Welfare and Development.
President Ferdinand Marcos Jr. suspended the planned fare hike in many transport sectors and instead promised expanded aid, fueling dismay from groups.
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Another big-time price hike is looming next week, with reports saying diesel may go up to ₱130 per liter, while gasoline may breach ₱100.
Infrastructure projects
The DBM also released over ₱18 billion for the continuation of infrastructure projects.
The agency released around ₱18.65 billion to the Department of Public Works and Highways (DPWH) “ensuring continued employment, safer roads, and unhampered economic activity.”
The remainder of more than ₱324 million will settle obligations for foreign-assisted infrastructure projects.
