Fair but firm talks set with transport groups
President Benigno Aquino III is using the carrot and the stick in a bid to avert a nationwide transport strike to protest high petroleum prices.
Palace deputy spokesperson Abigail Valte said that Malacañang was arranging a dialogue with transport groups but stressed that the administration was prepared to deal with those who would violate conditions of their franchises.
Valte brushed aside warnings by Sen. Ralph Recto that moves by Mr. Aquino to raise transport fares under a regime of escalating prices of basic commodities could spark a middle-class revolt similar to that wracking Syria.
“We are sensitive to the grievances of our people and these increases would not happen all at the same time,” said Valte.
She said that except for the hike in the value-added tax (VAT) on tollways whose implementation now depends on the Supreme Court, other impending increases would follow a “time table.”
At a Palace briefing, Valte said the dialogue with the President would give transport groups a chance to air their grievances.
“Because what is the point of a transport strike? To voice out concerns of these groups to the government. Now they have a chance to tell President Aquino directly their concerns and if they don’t take this chance … we can’t do anything about it,’’ Valte said in Filipino and English.
“It’s not to avert the transport strike but mainly for their concerns to be heard. The President wants to meet them face to face and know their concerns and tell them what the government can do, as well as seek the cooperation needed from the groups to achieve these measures.’’
Piston shuns dialogue
Valte said it was “unfortunate’’ that Piston, a major transport group at the forefront of the protest against oil price hikes, had chosen not to attend the dialogue, especially when it sought one over a month ago.
“Now that the President has extended his hand and has openly said that we want to hear the concerns of transport groups, (Piston) doesn’t want to take part in it,’’ Valte told reporters.
She said that so far six transport groups had agreed to sit down with Mr. Aquino, possibly on Wednesday.
“We just want to remind franchise holders, all of us are affected (by high oil prices) … we hope they don’t do anything that would not help the situation … They should look after the convenience of the public. So anytime that something happens that is not in accordance with one’s franchise, the government would not hesitate to look into this matter,’’ Valte said.
The government is prepared to give another tranche of its fuel subsidy to jeepney and tricycle drivers, Valte said. She said this could be one of the things that Mr. Aquino could offer in a dialogue with the transport groups.
The fuel subsidy program, or Pantawid Pasada, was initiated in May to help drivers cope with high oil prices. Its initial outlay was P450 million.
“We have more than enough budget to implement a second tranche,’’ Valte said of the fuel assistance of P35 a day for jeepney operators and P5 for tricycle operators.
Valte pointed out that the VAT on tollways would have a minimal impact on prices of goods as shown in a study conducted by Bureau of Internal Revenue Commissioner Kim Henares.
Henares had computed for instance that a supplier of eggs would spend only .0042 centavos for every egg he carries when plying any of the tollways, according to Valte.
Henares also had a similar computation for the impact of the VAT on passenger buses, she said.
Metro rail fare hikes
On the impending fare hikes in the Light Rail Transit and Metro Rail Transit, Valte said the increases would “not be a necessary burden’’ on commuters because this would lead to the improvement of the train services.
Critics have slammed Mr. Aquino’s claims that provincial taxpayers object to the LRT and MRT subsidies, saying it could foment division between urban and rural dwellers. Recto has pointed out the biggest share of taxes come from the capital region, which also contributes a huge chunk of the conditional cash transfer funding.
