The Land Transportation Franchising and Regulatory Board (LTFRB) has said it will continue to issue fare matrices despite an earlier announcement that it will review the higher fare rates it recently approved for buses and jeepneys in Metro Manila and nearby provinces.
Speaking to reporters on Wednesday, LTFRB Chair Martin Delgra III said that bus and jeepney drivers would need to pay P570 each for the fare matrices which would authorize them to charge their passengers minimum fares of P11 and P10, respectively.
Following an order from Transport Secretary Arthur Tugade to review the fare hikes, Delgra said the board would try to come up with a formula for the automatic adjustment of jeepney fare rates depending on trends in fuel and commodity prices.
A similar matrix is already being used by the aviation sector which automatically adjusts fares depending on consumer price index and pump price movements.
Should the LTFRB come up with a formula, it would be posted on the agency’s website, Delgra said.
In a separate interview, however, he expressed concern that an adjustable matrix would not be appropriate for passenger jeepneys.
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“Unlike other modes of transport like [transport network companies] which can arbitrarily set their own fares depending on a variety of fare components, you cannot do the same automatic adjustments for jeepneys,” Delgra said. “The commuters who ride the jeepneys need the fares to be stable.”
The Department of Transportation is not the only one urging the LTFRB to reconsider the fare hikes approved by two of its three-member board on Oct. 18.
On Monday, a commuters’ group that initially pushed for the suspension of the fare increases filed a petition seeking to roll the rates back to P8 and P10 for jeepneys and buses, respectively.
In a petition, United Filipino Consumers and Commuters representatives Rodolfo Javellana Jr. and Arlis Acao cited the recent global decline in oil prices as the rationale for a rollback in fares.
Before this, successive oil price hikes over eight weeks prompted militant transport groups to pressure the LTFRB to approve their requested hikes, or face the threat of another nationwide strike.
In response, Delgra said the LTFRB board “decided to accept [the petition] and set [a] hearing this month.”
The P10 minimum fare rate for jeepneys applies only to those plying routes in Metro Manila, Central Luzon and the Calabarzon region. As for buses, the P11 minimum fare covers only those in Metro Manila.