DOTr asks LTFRB to review Jeepney's rate increase

The Ministry of Transportation (DOTr) will be asking the Land Transport Regulatory and Liberalization Council (LTFRB) to consider the recent tariff increase for utility jeepneys (PUJ).

READ: LTFRB approves minimum jeepney P2 rate increase

The latest rate adjustment fixes the minimum rate at P10 in the National Capital Region, Region 3 and Region 4.

READ: LTFRB rejects call for stop price increases for jeepney and buses in Metro Manila

The commuter group's call for an end to the increase was rejected, according to the transport agency.

"We will be recommending to the LTFRB to review the tariff increase," said Under-Secretary-General for Road Transport Mark De Leon in a statement released on Wednesday.

"In the meantime, however, since there is already a decision, the LTFRB can still apply the increase, pending the review," he added.

At a previously held press conference, Arthur Tugade, secretary of the DOTr, said rate increases should be based on a predetermined matrix, which serves as clear guidelines when rates need to be increased or reduced.

The DOTr also indicated that it would ask the LTFRB to develop a parametric formula so that the tariff adjustments become automatic rather than relying on petitions.

"Ayoko yung estado of the situation na kung saan kapag can request an increase, a meeting, a discussion, a deliberation. It takes time, "said Tugade.

(I do not like this situation when a request for an increase is submitted, meetings, discussions, and deliberation ensue.) It takes time.)

"Baka 'pag dating from panahon na approved na yan, the situation that existed when you asked for a tariff increase is no longer there. Kaya nga, kailangan ang mo arrangement is a predetermined matrix, "he added.

(At the time the request is approved, the situation may have changed, so it is necessary to have a predetermined matrix.)

Tugade cited as an example the matrix used in the aviation sector.

In the airline sector matrix, rate adjustments for fuel surcharges are based on the price of fuel per barrel and the consumer price index, he noted.

"We prescribed gasoline, pag tumas per barrel or tumas indexed to consumer prices yung per barrel, with a certain amount. Pag bumaba, ibaba automatic mo rin. Pag Hindi Ka Sumunod, can be punished, "said Tugade.

(When the price of a barrel of gasoline or the consumer price index rises, you increase prices by a certain amount .If prices fall, prices should also fall automatically. do not respect the rules, there is corresponding penalty.)

The transport official added that the matrix, not the petition, will be the subject of discussion and deliberation.

"This matrix is ​​not one-sided, it is the one that is the subject of an audience." Pag nag agree yan, soft sail na po, "he said.

The LTFRB will implement the tariff increase as of November 2, pending its review.

Implementation was initially scheduled for November 3, but was later modified to November 2. / Ee

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