LTFRB Reviews Additional P1 Fare Hike Petition
The Land Transportation Franchising and Regulatory Board (LTFRB) is currently deliberating whether to approve or reject the petition for an additional P1 fare hike for public utility jeepneys nationwide. This fare adjustment request has sparked significant attention as transport groups push for relief from escalating operational costs.
On Monday, the LTFRB conducted a hearing regarding the nationwide fare adjustment petition filed by several transport organizations, including Pangkalahatang Sanggunian Manila and Suburbs Drivers Association Nationwide (Pasang Masda), the Alliance of Transport, Operators, and Drivers’ Association of the Philippines, and the Alliance of Concerned Transport Organization. The key phrase additional P1 fare hike surfaced early in discussions as the groups seek to supplement the provisional P1 fare increase granted in October 2023.
Transport Groups Present Four Core Arguments
The petitioners’ counsel, Atty. Veronica Soriano, outlined four main reasons for the requested additional P1 fare hike. First, the rapid and steady rise in fuel prices has significantly increased expenses. Second, operational and maintenance costs have surged, further straining drivers’ finances. Third, the current government fuel subsidy is deemed insufficient to offset these rising costs. Finally, the increase in minimum wage has enhanced the capacity of commuters to afford a fare adjustment.
LTFRB Demands Comprehensive Data and Studies
During the hearing, LTFRB Chairman Teofilo Guadiz III questioned the petitioners’ counsel on the evidence supporting their claim of insufficient fuel subsidy. He also requested a detailed comparative analysis on how the fare hike would affect minimum wage earners.
The counsel shared that interviews with jeepney drivers were conducted to gauge the subsidy’s inadequacy. However, Guadiz emphasized that anecdotal interviews cannot form the basis of a national policy. He insisted on a “definitive study” to substantiate the claims.
Consequently, the petition remains undecided as Guadiz instructed the petitioners to submit a position paper within a strict 10-day deadline. He stated, “the board will come up with a resolution whether to grant or to deny the fare increase” after reviewing the comprehensive data.
Balancing Transport Sector Needs and Commuters’ Welfare
In an interview following the hearing, Guadiz acknowledged the hardships faced by jeepney drivers but stressed the necessity of complete and reliable information before making a decision. “We understand their situation, but we still want complete data from them before we grant their request,” he said in Filipino.
Moreover, the LTFRB plans to obtain data from the National Economic Development Authority (NEDA) to assess the economic impact of the proposed fare hike. Guadiz explained that the board aims to balance the transport groups’ demands, the welfare of commuters, and overall economic effects before finalizing the resolution.
The board expects to release its decision by the end of August and will then forward it to the Department of Transportation (DOTr) for review. The DOTr may consult economic experts to evaluate potential effects on commuter security and economic stability.
Exploring the Pantawid Pasada Program Expansion
Meanwhile, Guadiz shared that the LTFRB is studying the possibility of implementing the Pantawid Pasada Program in Metro Manila. This initiative, first launched on a limited scale in Davao and Cebu, provides jeepney drivers with financial assistance based on a per-kilometer basis for their daily rides.
Despite recognizing the benefits of the Pantawid Pasada program, transport groups revealed they continue to face substantial losses. “The transport sector is struggling. Jeepney drivers lose P250-300 due to rising prices of diesel. [Other] reasons? Traffic, spare parts, we struggled a lot and did not expect these to increase their prices,” Martin said in Filipino during an interview before the hearing.
For more news and updates on public utility jeepneys, fare hikes, and transport sector developments, visit Filipinokami.com.
