ILOILO City – Transport groups in Western Visayas are planning to file a fare hike petition with the Land Transportation Franchising and Regulatory Board (LTFRB) Region 6, citing the incessant increase in the prices of fuel products.
Fuel prices increased anew yesterday: gasoline – up by P1.10 per liter; diesel – up by P0.20; and kerosene – up by P0.70.
The latest price hikes were due to higher world oil prices. The Organization of the Petroleum Exporting Countries (OPEC) cut its production. Freight costs were also rising.
Rizal Alido, president of the Western Visayas Federation of Transport Cooperative and Corporation (WVFTCC), said if the fuel subsidy expected from the Department of Transportation (DOTr) is still not released this week or next week, they will file a petition for a P2 fare hike. This is both for modernized and traditional jeepneys.
“Indi man namon gusto tani pero daw waay gid kami mahimu,” Alido told Panay News.
He added: “Compute-ton lang namon nga indi man matanto kasakit sa commuters kag indi man kami maano, daw i-balance lang naton ang increase nga makabulig sa side sang commuters and operators.”
Under the Iloilo City Alliance of Operators and Drivers Transport Cooperative (ICAODTC), there are 25 modernized units that each consumes P2,500 to P2,800 in fuel daily.
Meanwhile, Raymundo “Boyet” Parcon, president of the Western Visayas Transport Cooperative (WVTC), said if it were only up to him, he would file a P2.50 fare hike this week.
But the cooperative has yet to reach a consensus.
“Sa subong naga-plano na ako gani mag-file petition pero hulat-hulaton lang naton kay basi magbag-o pa ang oil price, basi magnubo sia,” Parcon told Panay News.
He said that due to the increase in the prices of oil products, the expenses of transport cooperatives also ballooned.
In his transport cooperative, expenses reached around P68,000 daily before the recent adjustments in the prices of oil products. Now, this has jumped to P100,000 daily.
“Ang kada modernized unit namon subong nagatughong na kami P1,500 or P1,700. Sang una P1,200 or P1,300 lang,” added Parcon.
Under WVTC, 15 modernized units are based at the Mohon Terminal, 15 at the ITGSI (Jaro CPU-Ungka) terminal and 17 at the Tagbak Terminal.
Why P2.50?
Parcon explained that his proposed fare hike is P2.50 because the LTFRB may still adjust it during the public consultation.
He clarified that the planned fare adjustment is for the first four kilometers only, and not for every succeeding kilometer.
The current minimum fare for traditional public utility jeepneys (TPUJs) is P12 and P14 for modern public utility jeepneys (MPUJs), both with an additional charge per succeeding kilometer.
For TPUJs, each succeeding kilometer costs P1.80, and for MPUJs, it costs P2.20 per succeeding kilometer.
Parcon is also eyeing to propose a bracketing system with the DOTr. He said if petroleum products are priced at P80 to P90 per liter, a fare hike will automatically be imposed. When fuel prices go down, fares will also automatically follow.
Meanwhile, Edgar Salarda, president of the Alliance for Peace Sustainable Development Transport Cooperative, said they hadn’t decided yet on seeking a fare hike.
According to Salarda, they will study the situation before deciding.
But he admitted he has many members who have been complaining about the increase in the prices of petroleum products.
Fuel subsidy
Sen. Grace Poe on Monday, Aug. 21, said the DOTr must now speed up the release of the P3-billion fuel subsidy for the public transport sector to help operators and drivers cope with the unabated surge in fuel prices.
“The DOTr must immediately issue the memorandum circulars and execute the memorandum of agreement necessary for the release of the long overdue fuel subsidy,” she said, lamenting that the P3-billion allotment of Congress for fuel subsidy has barely been used as the year is about to end.
On Aug. 17, the Department of Budget and Management (DBM) said the fuel subsidies for PUV operators and drivers this year will only be released once a joint memorandum circular (JMC) stipulating guidelines for the measure has been submitted.
“For the fuel subsidy to be released, DOTr must submit the Joint Memorandum Circular for FY 2023, as well as its accompanying MOA (memorandum of agreement), that would set the process for the identification and validation of beneficiaries,” DBM said.
The JMC will be signed by the DOTr, DBM and the Department of Energy.
The DBM said it is still waiting for the DOTr to submit the documents needed for the release of fuel subsidies.
A total of P3 billion is appropriated in the 2023 national budget in the form of fuel vouchers to qualified PUV, taxi, tricycle and full-time ride-hailing and delivery services drivers nationwide.
The fuel subsidy program aims to cushion the impact of high oil prices on PUV drivers.
The DOTr on Aug. 6 said about 1,640,000 PUV drivers, including tricycle drivers and delivery riders, will receive fuel assistance.
Around P10,000 each will be distributed to modern public utility jeepney and modern UV Express drivers, while P6,5000 each will be given to drivers of other modes of transport.
Tricycle and delivery riders will receive P1,000 and PHP1,200 assistance, respectively. (With reports from Philippine Daily Inquirer and Philippine News Agency)/PN