CEBU CITY, Cebu—The Land Transportation Franchising and Regulatory Board (LTFRB) slashed on Monday minimum jeepney fare in Central Visayas from P7.50 to P7 as a result of series of rollback of gas prices, a senior official said.
LTFRB Chairman Winston Ginez said the fare reduction covered only the first four kilometers and the rate for succeeding kilometers remained the same at P.90 centavos per kilometer but the cut was expected to make an impact on commuters in Cebu and nearby areas.
“Sa aming pagdinig sa petisyon ng mga stakeholders, nakapagdesisyon ang Board na magpatupad ng provisional na pagbawas sa minimum fare ng mga pampasaherong jeepney sa Region 7,” Ginez said.
The Board, in a hearing in Cebu City last December 17, approved the petition of Augustus Pe Jr., who said pump prices of diesel have returned to 2008 level. The minimum fare in Region 7 in 2008 was P7 for first five kilometers.
Among those who attended the hearing were representatives of the Alliance of Transport Organization, PISTON-Cebu, Consumers Rights for Economic Welfare, NCTU-Visayas, Maribago-Soong Drivers Association and Cebu South Mini-Bus Operators.
Ginez said he has ordered LTFRB regional directors to conduct public hearings in their respective areas to assess the impact of the drop in fuel prices to operators of buses and jeepneys and the public.
“Dapat maramdaman din ng ating mananakay sa Kabisayaan and epekto ng patuloy na pagbaba ng presyo ng krudo,” he said.
Oil companies rolled back prices of gasoline on Monday by P1.70 per liter, kerosene by P1.50 per liter, and diesel by P1.60 per liter as world oil prices fell below $50 a barrel.
Cebu commuters welcomed the fare reduction and transport groups were divided on the issue but Cebu Chamber of Commerce and Industry President Teresa Chan said the minimum fare should be P6.50 or P6 and even lower because of continuous decline of the price of diesel.
“We are concerned about this matter because this can help our employees a lot. While P5 may not be feasible, considering the operational costs, we hope our jeepney operators and drivers will help the riding public, the major of our population, who are wage earners,” Chan said.
Art Barrit, spokesman of the Associated Labor Unions-Trade Union Congress of the Philippines, said slammed the LTFRB for approving only a small decrease in jeepney fares.
“I don’t see the logic of the LTRFB granting a reduction of only P0.50. It’s an agency that is faster to increase, but slower to decrease fares,” Barrit said.