MANILA—The Department of Transportation (DOTr) said it wants the Land Transportation Franchising and Regulatory Board (LTFRB) to review the recent fare hike for jeepneys amid declining oil prices in the world market.
Transportation Secretary Arthur Tugade said fare increases should follow a pre-determined matrix, wherein there will be clear-cut guidelines when fares should be increased or lowered.
“Ayoko ’yung estado o situation na kung saan kapag may request for increase, meeting, discussion, deliberation. That takes time. Baka pagdating ng panahon na approved na ’yan, the situation that existed when you were asking for a fare increase is no longer there. Kaya nga, kailangan ang arrangement mo is pre-determined matrix,” he said in a statement.
The LTFRB on October 18 approved a P2-peso fare increase in public utility jeepneys, from P8 to P10, in the National Capital Region (NCR), Central Luzon, and Southern Luzon.
The DOTr said that, instead of relying on petitions, the LTFRB could use a formula so fare adjustments will become automatic.
Tugade cited the matrix used by the aviation sector, wherein rate adjustments for fuel surcharges are based on the price of fuel per barrel and the consumer price index.
“Ang presyo ng gasoline, ’pag tumaas per barrel, or ’yung consumer price index tumaas per barrel, magtaas ka at a certain amount. ’Pag bumaba, automatic ibaba mo rin. ’Pag hindi ka sumunod, may penalty,” he said, adding that the matrix and, not petitions, should be subject to discussions and deliberations.
“That matrix is not unilateral, that is the one subject to hearing. ’Pag nag-agree ’yan, smooth sailing na po,” he said.