The Land Transportation Franchising and Regulatory Board (LTFRB) will invite key government agencies to its next hearing on pending fare hike petitions, saying it wants to weigh the impact of any increase on commuters, transport workers and the broader economy before making a decision.
In a statement on Monday, the LTFRB said representatives from the Department of Economy, Planning and Development (DEPDev), Department of Labor and Employment (DOLE), and Department of Energy (DOE) will be invited to participate in the next round of deliberations on fare increase petitions filed by various transport groups.
LTFRB Chairperson Vigor Mendoza II said the board has already heard the concerns and arguments raised by transport groups during Monday’s hearing and will now validate the operational and financial data they presented. ‘We all heard the concerns and arguments raised by the transport groups on their fare hike petitions. They are all valid and legitimate and our task now is to validate the data they presented in terms of operational costs vis-à-vis their daily income and that of the drivers,’ Mendoza said.
He said the board also wants to obtain the views of other government agencies before acting on the petitions, noting that any fare adjustment would have implications beyond the transport sector.
‘But we also need to hear what the DEPDev and other agencies concerned have to say because we are all aware that any fare adjustment of any amount will have effects on the economy and the public’s purchasing power,’ he added.
According to the LTFRB, DEPDev will be asked to discuss the potential economic effects of the proposed fare adjustments, while DOLE is expected to present its assessment of labor concerns affecting public utility vehicle (PUV) drivers. The DOE, meanwhile, will provide data on recent fuel price movements and their impact on motorists.
Mendoza said the board is seeking a solution that would provide relief to the transport sector while minimizing the impact on inflation and commuters.
‘The necessity to assist the PUV sector is already there because of the series of oil price hikes in the past weeks. The question, however, is that if fare adjustments are approved, what would be the ideal amount that would have the most minimal inflationary effects but are acceptable to everybody,’ he said.
‘This is the part where the insights of experts from DEPDev and other concerned agencies will play a key role,’ he added.
Mendoza led Monday’s fare hike hearing, which was attended by various transport groups, including representatives of the seven groups that filed fare hike petitions. He also thanked the transport groups and other participants for taking part in the proceedings and presenting their arguments before the LTFRB.
The statement came after several transport organizations, led by Manibela, announced a three-day transport strike from Aug. 10 to 12 to protest the series of fuel price increases in recent weeks. While oil companies are expected to implement price rollbacks on Tuesday, transport groups said the rollback follows weeks of substantial increases in pump prices. /jpv