The Land Transportation Franchising and Regulatory Board had officially issued an order granting provisional authority to public utility jeepneys in Metro Manila, and Regions 3 and 4 to increase minimum fare from P8 to P9 for the first four kilometers effective Friday.
“The provisional authority to increase fare rates shall be effective immediately upon issuance hereof, and until full and final disposition of the above petition for fare increase, or unless modified/revoked and/or cancelled by the Board,” its three-page decision read.
The order was signed only by LTFRB chairman Martin Delgra III and board member Ronaldo Corpus.
The LTFRB officials, however, said there would be no increase in the succeeding kilometers.
Another board member, Aileen Lizada, was not a signatory.
She, however, did not comment when asked why she did not sign the order for a fare hike.
Last Thursday night in a Viber conversation, Lizada said “bago lang pumasok po, I reviewed the same and may comments po ako sa Order, sent back to legal for revision.”
Delgra reminded concerned jeepney drivers not to deprive the senior citizens and the students their right and privilege for a 20 percent discount.
The petitioners—the Federation of Jeepney Operators and Drivers Association of the Philippines, Land Transportation Organization of the Philippines, Alliance of Concerned Transport Organizations and Pangkalahatang Sangguniang Manila & Suburb Drivers Association Nationwide Inc., on May 29, filed a petition for a P2 jeepney fare adjustment for the first four kilometers.
In granting a P1 fare hike, the order said “the Board is aware of the present economic state of every Filipino brought about by the rise in oil prices in the world market and the continuous acceleration of inflation rate. Inflation rose from 4.0 percent at the start 2018 to 4.5 percent in May 2018. with transport services increasing from 1.2 percent to 6.2 percent during the same period, according to the Philippine Statistics Authority.”
“More, the Department of Trade and Industry, while it is true that fuel prices went up partly as a result of the Tax Reform for Acceleration and Inclusion Law, they shared that it has a very minimal impact on the prices of basic goods. That is because according to the DTI, transportation only accounts for less than 5 percent of the production costs,” it read.
“Per the National Economic and Development Authority, the bigger contributors in the increase of prices of goods are the series of increases in the price of oil in the world market.”
Moreover, the order stated “while the Board recognizes the plight of the Filipino people everytime an increase on the prices of commodities occurs, it cannot be insensitive to the present clamor of stakeholders in the public land transportation services for necessary action relative to the fare rates. Thus, the Board has judiciously balanced the rights of the riding public who are mostly dependent on the public transport system vis-a-vis the right of grantees of a certificate of public convenience to a reasonable return on investment.”