DOTC plans transport summit

The Department of Transportation and Communications (DOTC) is organizing a transport summit which will be participated in by various government agencies and transport groups to discuss, among others, the demand of the transport sector for the repeal of the Oil Deregulation Act and the exemption of oil products from the value added tax (VAT).

In an interview, Transportation Secretary Leandro Mendoza said the summit will be planned this week and will take place within the month.

Mendoza said they are planning to ask President Arroyo to meet with them.

"We are setting a new paradigm. It will be our advocacy that the government should be operator-friendly without prejudice to the implementation of the laws, rules and regulations.

The transport sector has likewise promised that it too would be public sector-friendly, Mendoza said in an interview. "They are going to improve delivery of service in terms of safety and comfort. We have resolved the basic issues."

The DOTC chief said they have to address the problem of the continuing rise of fuel prices.

"It seems that prices will not go down. Each time there is a problem, the transport sector’s economic viability is affected. If the economic viability of the transport sector is affected, safety and the delivery of service is sacrificed," Mendoza said.

He said a recent Cabinet meeting was held to mitigate the impact of the spiraling fuel increases.

"At the transport summit, we would tackle that issue. We have also been debating on the system of issuing franchises. The other one is excessive number of regulators, enforcers and authorities on public transport," Mendoza said.

Attending the summit will be the DOTC, the Department of the Interior and Local Government (DILG), Department of Energy (DOE), Department of Finance (DOF), Metro Manila Development Authority (MMDA) and local government units.

Joining them would be transport groups, including drivers and operators of jeepneys, buses, taxis and FX taxis.

Mendoza said they would meet and talk about rationalizing the authority and role of each department, as well as discuss how the government can help the transport sector.

"We are finding solutions to the problems. The rise in fuel prices is already a crisis. Prices have almost doubled this year compared to those in year 2000. The increase in fares made last year was too small which is why they have again asked for another increase in the minimum fare," Mendoza said.

He stressed, however, that the government cannot be held hostage by any group.

"The government is ready to listen and help out. Let’s do away with our personal interests and let’s move on to develop the industry," he said.

List of demands

For his part, Efren de Luna, president of the Philippine Confederation of Drivers and Operators-Alliance of Concerned Transport Organization (PCDO-ACTO), said the planned summit only shows that there is really a problem with the different government agencies.

"This proves that we were right in what we were fighting for. That is why the Secretary is planning this summit. What we have been fighting for is now being studied by the government. This is proof that the private sector and the government should not be separated and should not be in conflict with each other. What we are looking for is a solution which would be tackled during the summit," De Luna said.

Zeny Maranan, president of Federation of Jeepney Operators and Drivers Association of the Philippines (FEJODAP), welcomed the planned summit.

Among the issues the jeepney groups will be raising is the repeal of the Oil Deregulation Act, exemption of the oil products from VAT and amendment of the Executive Order 202, which is to de-politicize the Land Transportation Franchising and Regulatory Board (LTFRB) in order to make all decision appealable to the Court of Appeals instead of the DOTC.

They also asked for the amendment of the Local Government Code that requires LGUs to coordinate first with the DOTC/LTFRB before passing any local ordinance affecting the land transport.

They also asked for the amendment of the Public Service Act specifically the procedure in the granting of franchises applications of certificates of public convenience (CPCs) for tourist buses and rent-a-cars, and making mobile franchising in the regions more operator- and driver-friendly.

They also asked that issuance of CPCs in regions that are congested with taxis.

Likewise, they asked for the speeding up of the implementation of the "No Fault and All Risk Policy" for the Comprehensive Third Party Liability (CTPL) for public utility vehicles.

The jeepney group also demanded a halt to the implementation and issuance of LTFRB Memo Circulars and make LTFRB more operator- and driver-friendly rather than income centered through the imposition of high fees and penalties.

They asked that before imposing memos,the LTFRB should consult transport operators with an "open mind" to determine viability and acceptability of their measures.

The transport group also asked to speed up the jeepney rationalization program. They demanded for the unity between the Metro Manila Council and the MMDA, or have one agency abolished.

They asked that LTFRB be ministerial in its role, that their rules and procedures not be cumbersome and limiting to promote easier access, and that franchise verification should be open to all.