Transport groups may file petition: P5 fare hike eyed

CEBU, Philippines — Cebu-based transport cooperative, the Cebu Integrated Transport Multi-Purpose Cooperative (CITRASCO MPC) and other members of the federation of the Modernized Public Utility Jeepneys (MPUJs) may seek to file a petition to increase the minimum fare by P5.

“As of this time, max would be P20 para sa minimum na justifiable i-ask. And if ever LTFRB will grant an increase, I’m looking at P17 tops,” said CITRASCO general manager and president Ryan Benjamin Yu.

Yu was reacting to the earlier statement made by Greg Perez, president of the Pagkakaisa ng mga Samahan ng Tsuper at Opereytor Nationwide (Piston)-Cebu that MPUJs minimum fare would go as high from P40 to P45.

The current minimum fare for MPUJs is P15. So, if the federation will seek an increase of P5, it will become P20, should LTFRB approves it.

In a separate interview, Perez said that he based his pronouncement on the latest study conducted by IBON Foundation on the P40 to P45 fare increase.

“Dili na sa PISTON but mao na ang nigawas nga amount base sa study sa IBON Foundation,” said Perez adding that PISTON is likewise convinced based on the expensive cost of purchasing MPUJs that run from P2.2 million to P2.8 million per unit.

“Mao na ang momahal gyud ang pletehan kay mahal man ang unit sa MPUJs. Anha na kuhaon sa mga operators sa pletehan ang ilang ibayad sa loan,” Perez added.

But Land Transportation Franchising and Regulatory Board-7 regional director Eduardo Montealto, Jr. debunked the claims of Perez that PUJ fare will go as high as P40 for the minimum fare.

Montealto said such a claim is without factual and legal basis.

In a statement, Montealto said that fare rates are fixed and regulated by the LTFRB to protect the public and it will not be changed on the basis of speculation.

He added that under LTFRB rules, any application for increase of fare rates will go through a long and rigid formal evaluation process and will also be subjected to notice and hearing.

“May we take the opportunity to warn the general public of the misinformation and false scenario being circulated that the minimum fare for PUJ will reach Php40 when the PUV modernization program is fully implemented. Such a claim is without factual and legal basis,” said Montealto.

Montealto further said that an increase in fare will further involve the thorough evaluation and appreciation of relevant data coming from other government agencies, such as the National Economic Development Authority and Department of Energy.

Yu added that in case they will be filing a fare increase for both MPUJs and TPUJs fare, the main reason would be increases in the prices of fuel.

“Fuel increase main reason. Supporting basis kay ang increase sa all other consumable sa business. Recovery of investment and margin of profit will always be part sa fare determination.  Mao bitaw na nga mas mahal ang MPUJ fare vs TPUJ.  But naka spread na over a period of time ang recovery,” said Yu.

To recall, the last time LTFRB provisionally increased the MPUJs and TPUJs fare was on October 8, 2023 by P1 for the minimum fare.

The said increase meant fare for the traditional jeepney went from ?12 to P13, and for the modernized jeepney from P14 to P15.

The LTFRB Board also said in their four page Resolution dated October 3, 2023 that usual discount for qualified Filipinos, like for persons with disabilities, senior citizens, and students, still applies after presenting a valid ID.

The board said that they granted the P1 provisional fare increase pending the resolution of the main case wherein petitioners asked for P5 fare hike in the first four kilometers and adjust the fare for every succeeding kilometer by P1.

To recall, CITRASCO and other Cebu-based transport cooperatives did not withdraw their P5 fare hike petition filed before the LTFRB in 2022.

CITRASCO, together with the Visayas United Drivers Tranport and Multi-Purpose Cooperative (VUDTRASCO), Mactan Lapu-Lapu Mandaue Transport Cooperative (MLMTC), Talisay Minglanilla Naga San Fernando Carcar Transport Cooperative (TMNSCTC), Mandaue Sabang Danao Multicab Operators and Drivers Multi-Purpose Cooperative (MASADAMOD MPC), Mauswagon Transport Cooperative and Partylist 1-United Transport Koalisyon (1-UTAK) filed the said petition.

The petitioners have asked for a P5 increase in jeepney’s minimum fare and an additional P1 in the succeeding kilometer in Central Visayas before the LTFRB in Manila.

But Yu said their 2022 fare hike petition was not acted upon by the LTFRB.

“Yes, we will file a new petition,” was Yu’s response when asked yesterday if they are going to file a new petition for fare increase. — (FREEMAN)