MANILA, Philippines -- The National Economic Development Authority has approved the proposed fare increase for public transport, according to Augusto Santos, acting NEDA chief.

The Land Transportation Franchising and Regulatory Board (LTFRB) recommended the increase of P0.50 for jeepneys and P1 for taxis and buses amid the continued rise in oil and food prices worldwide.

In a phone interview, LTFRB chairman Thompson Lantion said this would mean that:

• jeepneys nationwide would now be charging P8.50 from P8.00 for the first four kilometers plus P0.25 for the succeeding kilometers; jeepneys were initially granted in May a provisional increase of P0.50 so another P0.50 would be implemented. As to the P0.25 for the succeeding kilometers, jeepneys would now be charging an additional P1.50 from P1.25.
• ordinary buses in Metro Manila would be charging from P9 to P10 for the first five kilometers plus an additional P0.20 for the succeeding kilometers; and airconditioned buses also in Metro Manila, 20 percent of that being charged by ordinary buses. Reports said this would be from P11.50 to P12.50. As to the P0.20 for the succeeding kilometers, buses would now be charging an additional P1.95 from the previous P1.75.
• an additional P10 would be added to the fare of taxis nationwide, which won’t be part of the flag down rate.

Lantion added that provincial buses were exempted because they had been granted a provisional increase.

Lantion said the fare increases would take effect either Thursday or Friday this week.

The proposal was approved Tuesday during the NEDA Cabinet board meeting presided over by President Gloria Macapagal-Arroyo.

George San Mateo, Piston secretary general, and a petitioner for the fare increase said although the increase was a "welcome move, it was not enough."

"Outdated na iyan at hindi sapat [It’s outdated and no longer enough]," San Mateo said, adding that their petition was filed last October 2007, when the cost of diesel was still pegged at P36 per liter.

"Ngayon P54.48 na ang diesel [Now diesel is P54.48]. So mag-increase ng konti yung kita pero wipe out din yun dahil weekly ang taas ng diesel [So there will be a slight increase in earnings but this will also be wiped out because of the weekly increases in the cost of diesel]," he added.

"Wala pang decision [There is no decision] to file a petition and all reports are just hypothetical," San Mateo said, clarifying reports that their group was asking for a P5 increase in fare.

Bong Suntay, president of the Philippine National Taxi Operators Association, said he was "happy for the drivers."

"Matagal na sinasabi na kailangan na kailangan na ito. Sana maintindihan ng mga tao [We have been telling people that this is badly needed. We hope people will understand]," Suntay said.

Suntay said the P10 add-on for taxis would allow drivers to take home as much as an additional P300 a day for an average of 30 passengers.

The average boundary rate for taxis ranges from P600 to P1200 per day, Suntay said.

Both San Mateo and Suntay said they would not file another fare increase petition any time soon.

"Another increase will be dependent on the increases in the prices of fuel. We don’t want to act on sure speculation," Suntay said.