Jeep fare hike set at P14
WITH COMMUTERS still reeling from the taxi fare hike, jeepney fare is also set to increase.
A hearing will soon be set for the petition filed by some operators regarding the
proposed increase of jeepney fare rate from P8.50 to P14.00 with an additional cost after four kilometers, gathering stakeholders to assess if the move is justified.
Department of Transportation (DOTr) Cordillera regional director Eduardo Natividad said the hearing will determine the amount of the fare increase.
Natividad said the number of hearings is not limited to the lone gathering set but by the interaction of stakeholders.
The hearing is set May 15, at 2 p.m. at the Land Transportation Franchising and Regulatory Board (LTFRB) office in Pacdal, Baguio City.
Transport groups in the national level have asked for a P4 fare increase for the existing P8 base jeepney fare pointing to effects of the Tax Reform for Acceleration and Inclusion (Train) law.
There are approximately over 4,000 public utility jeeps plying regular routes in Baguio City daily.
The proposed fare increase came in the heels of the implementation of the Tax Reform for Acceleration and Inclusion (TRAIN) which dictates an initial P2.50 per liter of excise tax would be imposed on diesel this year, and would gradually increase to P6 by 2020.
Operators also cited the higher fuel prices in the highlands by at least P5.
The Department of Energy (DOE) explained the disparity in price in La Union with Baguio City is based on the P25 international price import content, P7 excise tax, and the P6 value added tax, amounting to P38.00 while the remaining P22 is identified as the industry take.
DOE also explained Baguio City consumes only one to two percent of the Northern Luzon demand for fuel distributed by re-sellers aside from not having its own depot, import terminal, and a refinery.
The DOE is set to require the oil companies, suppliers and retail outlets to submit baseline data every end of the year for the unbundling of their base price and to comply as well with the mandatory price display board.
Following the additional effects on petroleum products with the implementation of the TRAIN law this year, Baguio City Congressman Marquez Go passed a measure giving back to the energy department powers to regulate the prices of fuel.
FARE HIKE TOO. Public utility jeepney operators and drivers in Baguio City and Benguet are seeking for a fare increase due to the high cost of fuel.