LTFRB Orderd By DOTr To Lower The Minimum Jeepney Fare From ₱10 To ₱9
DOTR – The Department of Transportation (DOTr) ordered the LTFRB to lower the minimum jeepney fare by ₱1 in lieu of declining prices of fuel.
DOTr Secretary Arthur Tugade ordered the Land Transportation Franchising and Regulatory Board to rollback the fare rate, says LTFRB chairman Martin Delgra, which he then confirmed that it will be announced through a resolution board.
Delgra further added that the prices of crude gradually decreased after the prices of fuel have peaked some time in October. The said fare cut came less than a month after a jeepney fare hike was implemented in parts of the country. Jeepney passengers in Metro Manila, Central Luzon, and Southern Tagalog were asked to pay a minimum fare of ₱10 during November. Delgra said that there will be no changes oin the fare matrix and they will implement that.
A report in PhilStar states that the rollback covers the first four kilometers of PUJ routes for the National Capital Region, and Regions 3 and 4. The order is reported to take effect immediately after a publication in the national daily.
DOTr confirmed that this is in lieu of Tugade’s previous order for the LTFRB to make a formula-driven matrix for fare adjustments. The LTFRB has set on making a formula which can pre-determine fare adjustments, as set by economic indicators such as:
- world market prices of crude oil;
- foreign currency exchange rate;
- consumer price index;
- inflation rate; and
- the financial viability of the public transport system, among others.
LTFRB also summoned a technical working group, who will work out a formula for setting fare adjustments.
As per the report, Tugade said that he doesn’t like the situation wherein if there is a request for an increase, there will be meeting, discussion and deliberation. He added that it would take time and by the time that it is approved, the situation that existed when you are asking for a fare increase is no longer there.
His proposed matrix for jeepney fare increases was said to be inspired by the workable fuel surcharge matrix implemented in the air sector.
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