EDITORIAL - Government subsidy

There’s no need to dispute the validity of the move of the transport groups to push for another round of fare increase. We see nothing wrong with their petition in this time of skyrocketing fuel prices.

It is well within their rights to petition for another fare hike if they think that is the only way to solve their problem. It remains to be seen, however, whether such solution is really effective.

A public utility vehicle driver does not entirely benefit from any move increasing the fare. That is because his operator will always have to compete for a share of his daily income. The operator cannot just sit idly while his driver is gaining a bigger profit from the increased fare.

Of course the operator will do everything to make a profit from any fare hike. So the natural move would be to jack up the ‘boundary’ so everything is fair, even if the burden over the high fuel prices entirely falls on the driver.

But a solution to the high fuel prices can be attained without the need to bother the riding public. Transport groups can always push for a remedy such as a subsidy from the government.

For instance, rice – or fuel – subsidy from the government can, in some other way, help drivers and operators cope with the rising prices of fuel. Such program does not only benefit the transport sector. It also freed commuters of the fare hike burden arising from the high cost of gasoline.

Last year, the Department of Energy distributed the Pantawid Pasada Card to the transport sector as government subsidy amid the high prices of fuel. The card gives utility drivers and operators the chance to freely avail of government-subsidized fuel in gas stations across the country.

It is very unfortunate that the Pantawid Pasada program was stopped. It would have greatly helped the transport sector in this time when fuel prices climb to record high. Now deafening shouts are all over again calling for the government to implement another fare increase.