P10 minimum fare

After weeks of weekend-increases in pump prices of fuel, a major transport group said on Saturday it is set to file an amended petition next week for an increase in the minimum fare from P8 to P10.

Zenaida Maranan, Federation of Jeepney Drivers and Operators (FEJODAP) president, said that they will file their amended petition before the Land Transportation Franchising and Regulatory Board (LTFRB).

Maranan said their amended petition will seek a P1 increase on top of the pending petition for a P1 minimum jeepney fare hike.

The LTFRB had approved a P0.50 provisional hike in minimum fare last week. Transport groups had asked for a P1.50 hike.

"Another P1. Bukod sa P1.50 centavos. Dahil binigay na iyong P0.50 na provisional increase, di may P1. Ngayon magdadagdag pa kami ng P1," said Maranan on ABS-CBN News Channel’s Top Story on Saturday.

Maranan said they will file their amended petition together with bus transport groups.

"Sabay-sabay na po kami ng mga bus companies, kagaya ng provincial bus, Metro Manila bus," said Maranan.

"Magiging P10 po ang magiging pamasahe ng ating mananakay" said Maranan, in case the petition is approved.

P6 subsidy as alternative

If the petition is not granted, Maranan offered an alternative. She said that the government can implement a P6 per liter subsidy for public transport drivers and operators.

She said the government can do this by suspending the implementation of the Expanded Value-Added Tax (EVAT) on oil products only for public transport.

"Ang amin pong pananaw dito ay magbigay po ng P6.00 subsidy. Ang tanong, papaano ibibigay ng gobyerno? Sa pamamagitan po ng pagtanggal pansamantala ng 12% EVAT ng ating petroleum products for the transport group only ng public utility, not the private sector," said Maranan.

She said this alternative they are offering would help public jeepney drivers meet their basic needs.

"Kung maibibigay ang P6 subsidy sa pamamagitan ng pansamantalang pagtigil ng EVAT sa petroleum products, di na masyadong ipu-push through ang paghingi ng pamasahe. .... ‘Yan na po ang halaga na hinihingi namin upang sa ganoon ay kumita ang mga tsuper at gayon may maiuwi sa kanilang mga pamilya," said the transport group leader.

Maranan also said they have yet to get P2 per liter fuel subsidy that was previously offered by the government to public transport groups.

Maranan warned they would again resort to a "transport holiday" in case government does not heed their demand.

"Sa grupo namin at sa alyansa, kung talagang di ibibigay ito... dapat naman ipagkaloob pagkat patuloy na tumataas ang presyo ng krudo. May possibilty talaga na kung di kami papansinin ng gobyerno ay pupunta talaga tayo doon sa transport holiday," said Maranan.

Prices hiked P1.50 per liter

Major oil companies again jacked up the prices of their petroleum products by P1.50 per liter Saturday to reflect the continuing surge in the cost of crude oil in the international market.

Pilipinas Shell Petroleum Corporation was the first to implement a P1.50 per liter increase in the prices of its gasoline, diesel and kerosene at 12:01 a.m. Saturday.

Shell was followed by Petron Corp., Chevron Philippines (formerly Caltex) and Total (Philippines) Corp., which increased the prices of their gasoline, kerosene and diesel at 6 a.m.

Defending the new round of price adjustment, Petron pointed to the month-to-date May Dubai crude that is averaging $119.46 per barrel, up $16 from the April average.

Petron said that this was the largest single-month increase ever for Dubai.

Govt steps to mitigate impact of price hikes

The government had taken measures to mitigate the impact of the oil price hikes by removing the tariff on imported fuel products starting June 1.

The tariff removal would translate to a lower diesel price by at least P0.50 per liter.

The government, however, has rejected calls to lift the expanded value-added tax on petroleum products, saying this would be counter-productive to the country’s economic gains.

The government has allotted P1 billion for the conversion of jeepney fuel tanks in Metro Manila and other regions into liquefied petroleum gas, LTFRB said Tuesday.

LTFRB chairman Thompson Lantion said the government will make arrangements within the week for the Development Bank of the Philippines to lend a total of P1 billion for the jeepney groups who want to avail of the government's LPG-conversion program.

He said jeepney operators can avail of the lending program at zero-interest and payable for at least two years. The budget that will be used for the program came from the government's collections from the Road Users Tax, he added.

The LTFRB chairman said the LPG conversion program was approved by the government to mitigate the increasing fuel prices in the world market.

P2 fuel subsidy

Lantion said the LTFRB's proposal for a P2 per liter fuel subsidy program for public utility vehicles has been submitted for Cabinet approval.

He said the LTFRB has finished drafting the implementing guidelines of the program, which includes the distribution of a record booklet. It will record the public utility vehicle's fuel subsidy record.

If it is approved, Lantion the program will cost the government P1.1 billion for every 26 days.

He said the fuel subsidy has been "approved in principle" by President Arroyo, but it has to go through the evaluation process of the Department of Finance and Department of Budget Management.

The government has been looking for ways of appeasing the agitated transport sector amid the non-stop increases of fuel prices. -via abs-cbn news