Reduced boat fare rates ‘not enough’

CEBU, Philippines - Following the successive decrease in oil prices recently, at least 22 shipping companies and banca operators have reduced their respective fare rates since the start of the month.

Despite this, however, Cebu City Councilor Alvin Dizon said he discovered upon going over the attachments of a Maritime Industry Authority-7 position paper submitted to the council that most lowered their fare by a mere 10 percent or less.

“In 2008, 30 shipping companies increased their fees at least two times after noticing an increase of oil prices, their increase was from 30 to 85 percent. Sa reduction nga ilang gi-implement, generally, is only 10 percent,” he said during a City Council executive session yesterday.

Section 11, Chapter IV of Republic Act 9295 (An Act Promoting the Development of the Philippine Shipping, Shipbuilding, Ship Repair, and Ship Breaking, Ordaining Reforms in Government Policies Towards Shipping in the Philippines and for other Purposes), states that “every domestic ship operator shall have the right to fix its own passenger or cargo rates, or both.”

Dizon said that shipping companies should implement fare reduction immediately and should not wait on the advisory of the Marina.

“Karon nga ni-ubos ang gasoline, lisod kaayo sila patumanon sa reduction sa fares. Makita nato nga dili kaayo reasonable ang atong mga shipping companies,” he said.

He requested all shipping companies to implement a significant decrease in their fares, suggesting that it should be at least 30 percent.

Marina-7 Director Nannette Villamor-Dinopol told the City Council that shipping companies reduced their passenger fares by P5 to P145 only.

Engr. Elias Sabang, Consumer’s Rights for Economic Welfare president, said reduction of fare rates will encourage people to travel, ultimately benefitting shipping companies also.

“I have noted that if duna man ganiy reduction gamay ra kaayo, murag P10 ra. Dili kaayo commensurate sa ilang savings kay ni-reduce raba gyod ang diesel,” he said.

“Gamay ra kaayo; actually, meaningless ra. Unya, we are compelled to add on P10 for the insurance, naa pay terminal fee nga P5 sa CPA (Cebu Port’s Authority),” he added.

Vicente Gambito, consumer representative, said during the session that though Marina has regulatory powers over the industry, it could only request the shipping companies to reduce their fare rates but not impose sanctions on those that would not.

He said legislative intervention by the City Council would be a good start.  — Jean Marvette A. Demecillo/RHM (FREEMAN)