LTFRB keen on approving bus fare hike petition

The Land Transportation Franchising and Regulatory Board (LTFRB) is keen on approving the petition of operators to increase the fares for public utility buses, but will take into consideration the guidance from the National Economic and Development Authority (NEDA) to ensure a balance on the welfare of both drivers and operators as well as commuters.

“The last bus fare increase was in 2018 and the diesel then was just P44, so we recognize there is a need for an increase but how much, of course, we will have to see what the NEDA will say,” LTFRB chairman Cheloy Garafil told reporters following the second hearing of the agency on the petition for fare hike on public utility buses.

The first hearing was conducted on July 28, 2022.

The LTFRB is tackling the joint petition by the Southern Luzon Bus Operators Association, Nagkaisang Samahan ng Nangangasiwa ng Panglalawigang Bus sa Pilipinas, and Samahang Transport Operators ng Pilipinas Inc., they requested a P20 minimum fare for the first five kilometers in the air-conditioned buses from P13, and a charge of P3.40 per kilometer beyond five kilometers. 

The petition also called for an increase in the minimum fare in the ordinary buses from P11 to P15, with a P2.70 charge per kilometer.

For the provincial PUB, the petitioners requested P15 minimum fare in the ordinary buses with a charge of P2 per kilometer. In air-conditioned PUB, the charge is P2.50 per kilometer for regular air conditioned buses, P2.60 per kilometer for De Luxe, P2.70 per kilometer for Super De Luxe, and P3.60 per kilometer for Luxury.

Garafil said that during the hearing, president of Lawyers for Commuters Safety and Protection Atty. Ariel Inton’s position was to agree to at least P2 increase bus fare increase for the first five kilometers but said the fare hike for succeeding should be tempered as it will have an impact to commuters.

“That’s why, we want to see the effect of this based on the NEDA study on the effect of incremental fare increases per succeeding kilometers,” Garafil said in a mix of English and Filipino.

The LTFRB chief said the second hearing is the last hearing that will be conducted by the agency for the bus fare hike petition, adding that the regulatory body is awaiting NEDA’s position before deeming the petition as “submitted for resolution.”

Garafil said the NEDA is expected to submit its study next week, after which the LTFRB will have another week to decide on the petition.

“We need the position of the NEDA because the LTFRB doesn’t want to add on the inflation as any increase, although minimal, still has an effect that’s why we need the guidance of the NEDA on this,” she said.

“We will balance it out… because we cannot just side with one party, we have to balance. While we recognize that oil prices have increased since the last fare hike for buses, we also recognize this will have an impact on passengers. That is why we are very very careful in crafting a resolution for this case,” she said.

The LTFRB chief said increasing bus fare will help operators since "many of them are out of business because of high prices of fuel and there are routes which were cut, so this will help them.”

“Our primary consideration is to get a balance on how to help them [bus operators] at the same time it won’t be too burdensome for passengers,” she said. —LBG, GMA News