Palace: No fare hike for now

MANILA, Philippines — The Marcos administration is not yet inclined to increase public transport fares despite the latest surge in fuel prices triggered by the volatile situation in the Middle East.
Palace press officer Claire Castro said the Department of Transportation (DOTr) hopes a fare hike would be the “last resort” as the government maximizes subsidies and other measures to cushion drivers and commuters from rising fuel costs.
“The government is exhausting every measure it can implement to help our drivers and the transport sector so that the burden will not be passed on to commuters. We hope the increasing fares will be our last resort,” Castro said, quoting Transportation Secretary Giovanni Lopez, in a media briefing yesterday.
“The initiatives of the DOTr to reduce the impact of higher oil prices like fuel discount and free toll for buses will continue,” she added.
Castro said agencies have also discussed providing targeted subsidies to transport groups through the Assistance to Individuals in Crisis Situations or AICS program of the Department of Social Welfare and Development.
“For now, we are not inclined to raise the fare rates for the sake of our countrymen, but we are not closing our doors to it,” Castro said. “As long as we can, we will provide assistance to our drivers and transport sectors so the fare rates will not go up... But studies are continuously being conducted because we do not want our countrymen from the transport sector to be severely affected.”
Lopez said the Land Transportation Franchising and Regulatory Board continues to hear petitions for fare increases, but the government is maximizing the assistance it can provide.
“We are maximizing what the government can provide in terms of initiatives and subsidies. Take our fuel discount, for instance; we know it increased from P10 to P12, and that the modes of transport benefiting from it—jeepneys and UV Express units—are limited,” Lopez said.
“We are looking into how to extend this program and include other modes of transport,” he added.
Lopez also said any fare increase must take inflation into account.
“Inflation itself is quite high. If we raise fares, it will certainly add to inflation, as well as to the cost of services and goods. What we are saying is that the government will shoulder the burden—we will stretch our resources as far as possible through subsidies and various initiatives,” he said. “DOTr initiatives are currently underway, and we hope that a fare hike remains a last resort. It is just a matter of time.”
The government’s position came as motorists faced another major increase in pump prices yesterday, with diesel rising by P8.82 per liter, gasoline by P4.88 and kerosene by P6.47.
The latest adjustment marked the third consecutive major fuel price increase this month.
After the latest increase, diesel prices have risen by a total of P18.31 per liter in three weeks, while gasoline has increased by P15.25 and kerosene by P16.67.
Some oil companies staggered the diesel increase to cushion the impact on motorists.
Petron and Shell raised diesel prices by P7.80 per liter yesterday, with another P1 increase taking effect today, while Seaoil implemented increases of P7.82 yesterday and another P1 today.
Meanwhile, due to continued fuel price increases, transport group Piston has announced a two-day strike on Sept. 29 and 30. — Brix Lelis, Josiah Antonio
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