P450-M fuel subsidy guidelines bared

MANILA, Philippines—The government has finally issued the implementing rules and regulations for the Pantawid Pasada program, in which P450 million in fuel subsidies will be given to jeepney and tricycle drivers to help them cope with spiraling oil prices.

Energy Undersecretary Jose M. Layug Jr. said the IRR sets out the fundamental principles that government agencies involved in the fuel assistance program would follow.

The agencies involved include the energy, finance, budget and management, interior and local government and transportation and communications. A joint circular on the adoption and promulgation of the IRR by these agencies was published in major newspapers yesterday.

According to the provisions of the IRR, of the P450 million allocated for the Public Transport Assistance Program (PTAP), P300 million would go to jeepney driver beneficiaries and the remaining P150 million is to be shared among tricycle driver beneficiaries.

Apart from the joint circular, the DOE is also set to issue on Monday the guidelines for the fuel smart cards, on the same day when the actual distribution of the cards will start.

Energy Secretary Jose Rene D. Almendras earlier assured the program’s beneficiaries that the fuel smart cards had built-in safety measures to safeguard the program from corruption and mishandling.

Almendras explained that the cards would be loaded with P1,050 only after these reach their targeted beneficiaries.

According to the estimates of the energy department, the distribution of the cards to jeepney drivers will take about three months to complete. In the National Capital Region alone, the distribution is expected to be completed within 20 days’ time.

Target beneficiaries have to validate their claims by presenting copies of franchise licenses and registration, along with valid IDs to the centers where jeepney drivers can claim their fuel smart cards.

Starting on June 1, gasoline stations will require public utility vehicle drivers to present their cars to be able to avail of fuel through the discount lanes.

To prevent misuse and possible theft, the fuel smart cards are embedded with information that will tie it to the point-of-sale machines of the gasoline stations and the vehicle for which the card is intended.

This means that the cards cannot be used for anything but the purchase of fuel products in the gas stations.

The cards, being nontransferrable, can only be used to gas up or avail of discounts for a specific vehicle and plate number.

Almendras said it would take only two seconds to cancel the card, rendering it useless in case of theft.

He also reminded drivers to “take care” of their cards even after they have consumed its balance.

The cards are valid for up to five years and can be used for future related programs of the government.

The energy chief hinted that the cards could be reloaded as the cost of printing them now has been shouldered in part by the oil companies and several other donors.

The Ayala-led Bank of the Philippine Islands agreed to print the cards at cost. BPI did not charge for the encoding and embossing as well as for the infrastructure costs, said Almendras.

“If we are successful in an airtight distribution mechanism, where we can be assured that the cards reach the intended recipients and that it is not pilfered and cannot be abused, then nothing stops you from using the same mechanism more and more, when it is needed,” Almendras said.

“If there’s extra money after the distribution of cards had been made, we will load the remaining amount to the cards,” he added.

Malacañang signed Executive Order No. 32 for the implementation of the fuel assistance program on April 1.