Abad not sure there is need for more fuel subsidy

MANILA, Philippines—A day before President Benigno Aquino III meets with transport groups over high oil prices, Budget Secretary Florencio Abad said Tuesday there may be no need to give another fuel subsidy to jeepney and tricycle drivers and operators.

Abad said that the government can afford to give a second fuel subsidy but added he has not been given any instruction by President Aquino to do so.  “But the question is if there is a need to do it,” Abad told reporters.

He noted that oil prices were going down now that political turmoil in the Middle East and North Africa was  “settling down.”

Told that some groups still plan to push ahead with a nationwide strike to protest the frequent gasoline price increases, Abad said he hoped that transport groups would not go on strike.

Abad’s statements came a day after Palace officials said that the government founds for a second tranche of its Pantawid Pasada program and that it would be likely offered in Wednesday’s dialog between President Aquino and transport groups.

Last May, the government granted the fuel subsidy to jeepney and tricycle operators, who were most affected by high oil prices.