LTFRB, transport groups to meet on fare hike

MANILA, Philippines - The Land Transportation Franchising and Regulatory Board (LTFRB) will conduct a dialogue with commuter groups and various transport organizations nationwide to determine if the new oil price hikes will justify the petition for a new fare increase of P1.

Alberto Suansing, LTFRB chairman, told The STAR that he will ask the Alliance of Concerned Transport Operators (ACTO) to justify their call for an additional P1 fare hike for passenger jeepneys due to the continuing oil price rise.

He said that as of yesterday there was no formal petition for the new round of fare increase.

Suansing said aside from ACTO the other jeepney and transport operators are not keen on seeking a fare increase.

He said transport operators are more concerned with the repair of passenger jeepneys and vans damaged by tropical storm “Ondoy.”

He said the government through the Postal Bank of the Philippines is extending calamity loans up to P50,000 for damaged public utility vehicles.

There are reports that at least 2,000 commuter vehicles in Metro Manila were damaged during the floods spawned by Ondoy in Marikina and Rizal province.

Suansing said among the requirements for the calamity loan is the certification of the LTFRB that the affected vehicles are granted franchises or certificate of public conveyance in certain routes.

“The main concern at this time is to help operators recover from the recent calamity,” Suansing said.

Malacañang expressed confidence that a compromise would be reached between the Department of Transportation and Communications (DOTC) and the transport groups seeking a fare hike.

Executive Secretary Eduardo Ermita said that he is aware of the impact of a fare increase at this time but the Palace would leave it up to the DOTC to discuss this with the transport groups.

After protesting the P2 per liter increase in diesel prices implemented by oil companies a few days back, transport groups argued that they now have to raise their fares.

The government has joined the private sector in questioning the recent hike in pump prices, especially after the oil companies were asked to hold their prices for the meantime, in light of the devastation wrought by the two recent typhoons that took a huge toll on the public. Any increases in the prices of basic goods and commodities including fuel would have a huge adverse impact on consumers.

Ermita reminded the Department of Energy that it has the power to look into the books of the oil companies to check if their prices are reasonable and that no overpricing is taking place.

Transportation and Communications Secretary Leandro Mendoza said that public transport operators and drivers whose vehicles were damaged by the floods brought by Ondoy and typhoon “Pepeng” could avail of financial assistance from a special loan facility allocated for the repair their units.

Mendoza said that President Arroyo has instructed an inter-agency committee handling the government’s microfinance program for the spouses and family members of drivers and conductors of public utility vehicles (PUVs) to extend financing to transport operators and drivers whose PUV units were severely damaged or destroyed by floods.

The special loan facility would be issued through the Philippine Postal Savings Bank, funded with P500 million taken from the Road User’s Tax. – With Rainier Allan Ronda, Marvin Sy