The Land Transportation Franchising and Regulatory Board (LTFRB) on Saturday said it is considering expanding and possibly increasing fuel discounts for public utility vehicles (PUVs) amid a series of new oil price hikes.
According to LTFRB, Transportation Secretary Giovanni "Banoy" Lopez has directed the agency to hold discussions with concerned government agencies and transport stakeholders to determine the most appropriate assistance for PUV operators and drivers affected by rising fuel costs.
Aside from reviewing pending petitions for fare increases, LTFRB Chairman Atty. Vigor D. Mendoza II said the agency is also considering sustaining, expanding, and possibly increasing the existing fuel discount program as an alternative measure.
"We are factoring everything in the conduct of the review and recomputation, and this includes the fact that it is difficult to do so because the situation in the Middle East remains unpredictable and unstable," Mendoza said.
At present, the government's P10-per-liter fuel discount applies only to passenger jeepneys and UV Express units, which are among the most commonly used modes of public transportation in the country.
Mendoza said the LTFRB is treating the proposal to expand the fuel discount program as a last option, noting that discussions and public consultations with stakeholders nationwide are still ongoing.
While Mendoza acknowledged that many transport groups support expanding the fuel subsidy instead of raising fares, he noted that they argue it would ease the burden on operators without adding to commuters' expenses or contributing to inflation.
However, he said broadening the coverage and increasing the amount of the fuel discount would require substantial government funding.
According to the LTFRB, more than 87,000 PUVs have already benefited from the P10-per-liter fuel discount, while more than 143,000 PUVs are currently registered in the agency's system.
"Increasing and expanding the fuel discount is the most logical and practical measure in the middle of the uncertainty surrounding the situation in the Middle East. This will be factored into the ongoing discussions," Mendoza said.
The LTFRB said it will continue evaluating the proposed fuel discount expansion alongside pending fare adjustment petitions before making any recommendations.
