Transport groups are asking the government to return the P10-minimum fare for jeepneys, amid increasing fuel prices.
Transport groups earlier filed a petition to increase the minimum fare to P15. Fuel prices continue to rise, with diesel prices ranging from P57 to P60 per liter. In 2018, the price of diesel ranged from P42 to P49.
Pasang Masda president Obet Martin lamented that drivers and operators may not be able to afford the P57 per liter price of diesel. He said transport groups are asking LTFRB chief Martin Delgra to consider their petition. He also asked the public for “understanding,” noting that jeepney drivers earn only P150 to P200-P250 per day due to the fuel price hikes.
The LTFRB said it cannot immediately decide on the transport groups’ requests. The LTFRB also said it will need to conduct the hearing on the petition, set for early March. Oil firms have increased oil prices for 6 consecutive weeks.
The Alyansa ng mga Grupong Haligi ng Agham at Teknolohiya para sa Mamamayan (AGHAM) meanwhile expressed concern over the series of oil price hikes.
AGHAM president Angelo Palmones said there is a need to protect Filipino consumers from the volatility of international oil prices.
“Fuel prices are continuously increasing and consumers are left with no choice but to pay more for oil. It’s not just the motorists who are bearing the brunt, but also other industries whose cost of production and operations are affected by higher oil prices,” Palmones said.
As of February 8, year-to-date adjustments to stand at a total net increase of P6.75 per liter for gasoline, P9.15 per liter for diesel, and P8.45 per liter for kerosene, according to Palmones.
AGHAM said that as an oil-importing country, the Philippines is exposed to the volatility of international oil prices, which have been rising due to disparity in supply and demand, and the geopolitical tensions between Russia and Ukraine.
AGHAM, meanwhile, lauded Manila Electric Co. for the lower electricity rates this month.
Meralco announced its rates went down by almost P0.12 per kilowatt-hour in February.
“Usually, when oil prices go up, cost of electricity also increases since power plants that supply to Meralco are also affected by movements of global fuel prices,” said Palmones.
“A look at the breakdown of Meralco’s rate reduction this month showed that its generation charge actually went down by P0.23, owing to its strategic sourcing from suppliers that somehow protected its customers from price spikes,” he said.
Meralco explained that it sourced less from the Wholesale Electricity Spot Market, the trading floor of electricity during the January supply month which partly contributed to the decrease in electricity rates in February.
Meralco sourced only 0.4 percent from the spot market, where prices had been high due to the tight supply condition.
“The second consecutive month of rate reductions is a very welcome relief for us, consumers, who are usually helpless when it comes to increases in the prices of goods and services,” said Palmones.
AGHAM highlighted the importance of implementing long-term solutions that will protect consumers from the volatility of global market prices.
“We remain heavily reliant on imported fuel and the only way to shield consumers from the volatile international prices is to develop our own sources,” said Palmones, adding that AGHAM has been pushing for more oil and gas explorations in the Philippines. With Alena Mae S. Flores
