The Land Transportation Franchising and Regulatory Board (LTFRB) previously denied the petition to increase the base jeepney fare from P9 to P14. While another hearing on the matter will be held tomorrow, fuel prices have already gone further up since the initial decision was made on March 8.
As they wait for the final decision on the matter, transport groups have requested a P1 provisional fare increase to help drivers cope with the continuous fuel-price hikes. However, the LTFRB has now rejected this petition.
LTFRB on why a PUJ fare hike isn’t possible
The LTFRB said in its statement that it had to deny the petition in order to “judiciously balance the rights of the riding public who are most dependent on the public transport system vis-a-vis the right of the operators to financial returns.”
The agency said also cited the position of the National Economic Development Authority (NEDA) on how permanent or provisional fare hikes could result in “an accelerated increase” on the prices of basic commodities and services.
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Other solutions
The agency said that it will instead “proactively set in place a basket of solutions to ensure the continued viability of our public transport system of the country, such as the Fuel Subsidy Program and the Service Contracting Program.”
The LTFRB will be distributing fuel-subsidy packages amounting to P6,500 until the end of March to 377,433 beneficiaries. The agency claims it has already disbursed P700 million of the total P2.5 billion budget. As for the Service Contracting Program, this will resume once the Department of Budget and Management has released the funds.
As mentioned, the subsequent hearing on the original fare-hike petition will be held tomorrow, March 22. Be sure to check back in here for more updates.
