Diesel tax may lead to higher jeepney fares, transport groups warn | ABS-CBN

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Diesel tax may lead to higher jeepney fares, transport groups warn

Diesel tax may lead to higher jeepney fares, transport groups warn

ABS-CBN News

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MANILA - Jeepney operators on Thursday warned that the government's plan to slap excise tax on diesel would pressure them to increase fares.

A P6 per liter excise tax on diesel may require a P1 to P1.50 increase in the P7.50 minimum fare, said Federation of Jeepney Operators and Drivers Associations of the Philippines president Zenaida Maranan.

The government should hold dialogues with the transport sector before pushing through with the planned diesel tax, said Pasang Masda president Roberto Martin.

"Hindi po biro ang P6 kada litro sapagkat yun lamang sentimo na paggalaw ng presyo ng krudo o petrolyo ay nagdudulot na ng epekto sa inuuwing kita ng ating mga driver sa kanilang pamilya [P6 per liter is no joke because a few centavos increase in petroleum prices affects the money that drivers bring home to their families]," Martin said.

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Supermarket operators also expressed concern over the possible effect of fuel taxes on consumer prices.

President Rodrigo Duterte is seeking additional revenue sources, including lifting Value Added tax exemptions and a new tax on sugary drinks to offset a planned reduction in income tax rates. -- reports from Alvin Elchico, ABS-CBN News

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