Minimum fare for jeepneys is now P8

CEBU, Philippines -  The Land Transportation Franchising Regulatory Board (LTFRB) has issued an order allowing the increase of 50 centavos in the minimum fare.

LTFRB Chairman Jaime Jacob said that while the board recognizes the plight of the Filipino people in this time of crisis, it cannot be insensitive to the present clamor of stakeholders in public land transportation services for necessary action for fare rates. 

The board had to balance the rights of the riding public, who are mostly dependent on the public transport system vis-à-vis the right of grantees of Certificates of Public Convenience to a reasonable return of investment.

In the order, it was resolved to issue the “provisional authority” to increase/adjust fare rates, subject to terms and conditions.

Aside from Cebu, other provinces in Central Visayas will have the same fare hike including the National Capital Region, Regions II, III, IV, VI, VIII, IX, X and Mindanao Region.

“The provisional authority to increase fare rates shall be effective immediately until full and final disposition of the above Petitions for Fare Adjustment/Increase, or unless modified/ revoked and/or cancelled by the Board,” the order reads.

First five kilometers

LTFRB Board Member Manuel Iway however clarified that for Region VII, the increase in provisional fare is for the first five kilometers and not for the first four kilometers, which was stated in the said order.

Iway further explained that he is not in favor of the fare hike wherein in his dissenting opinion he stated that it is his belief that the approval of a provisional fare increase of 50 centavos is unjustified and unnecessary.

“Considering how fare hikes ultimately burden the people in this country, it behooves the petitioners to back their claims with solid evidence. As petitioners have not presented any proof of their self-serving claim by the time this provisional fare increase was granted, it is clear such grant is unjustified,” Iway said.

In addition, Iway said that the grant of the provisional fare increase as of this time is unnecessary because the government, sensitive to the needs of drivers, has tried to ease their plight through the Pantawid Pasada Program, where each legitimate driver is given P1,200 for gasoline allowance.

Iway further said that it seems that while the government is willing to ease the plight of drivers, the drivers are unwilling to do the same for their passengers.

Armand de Gracia, president of Alyansa sa Nagkahiusang Drayber-Operator Alang sa Reporma (ANDAR) in a separate interview said that although the increase is small, it is nevertheless okay than nothing as it shows that the government is doing something about their plight.

Discounts

The order added that all public land transportation services are directed to grant to qualified senior citizens utilizing their services a fare discount of not less than 20 percent of the approved provisionally increased/discounted fares upon presentation of their senior citizen identification card.

Students are entitled to a student fare discount of not less than 20 percent of the fares every school day upon presentation of their ID cards or registration cards.

The fare discount of not less than 20 percent shall also apply to persons with disabilities.

All PUV operators shall post a Notice of Provisional Fare Increase inside their vehicles.

No payment for Increase of Rate and revision of Fare Matrix shall be imposed and/or collected until the board so orders the final fare rates structure.

Roll back possible

The order further added that in the event of corresponding decrease in the fuel prices, the board has the discretion to recall, alter or modify this order to correspond with the demands of the public.   

The board added that it is mindful of the present economic state of every Filipino, which is brought about by the continuous rise in oil prices in the world market. Although the impact thereof was slightly and temporarily deterred by the steady performance of the peso, the eventual and uncontrollable effect on the prices of fuel in the domestic market became evident and has resulted in an almost weekly price increase. 

Per Department of Energy Report, international prices of gasoline and diesel all climbed recently.

 Oil prices significantly increased amid fears of possible supply disruption that may be brought by the lingering tensions over Iran’s nuclear program.

Moreover, the oil price hike is clearly the effect of a variety of factors on the global price of oil. They include unrest in certain regions of the world. They include growth in areas like China and India.

Iway added that the main fare hike petition filed by the different transport groups in the country is still subject to a public hearing where the said petition is being filed.

Fare hike petitions

The Cebu Integrated Transport Service Multi-purpose Cooperative has already filed a P1.50 increase in minimum fare.

LTFRB-7 has still to schedule a public hearing on this matter.

 Meanwhile, bus operators will have a meeting with Cebu Governor Gwendolyn Garcia today as they will file a petition to recall fare before the LTFRB.

Julito Flores, president of the Cebu South Mini-Bus Operators Association said that the current fare is P8 for the first 5 kilometers and P1.20 for the succeeding kilometers.

But this time, amidst the rising cost of fuel, spare parts, among others, the group wanted to implement the approved LTFRB rate of P8.50 for the first 5 kms and P1.45 in the succeeding km.—/NLQ (FREEMAN)