Piston Cebu still opposes fare hike amid soaring fuel costs

 

DESPITE the 11-week surge in fuel prices, the local chapter of the Pagkakaisa ng mga Samahan ng Tsuper at Opereytor Nationwide (Piston) maintains its decision to refrain from filing a petition for a fare increase, emphasizing the economic hardship faced by commuters due to the soaring costs of essential goods in the local market.

Piston Cebu chairman Greg Perez said the current circumstances are not conducive to increasing minimum fares in public transportation.

While they won’t oppose fare hike petitions by Metro Manila-based transport groups, their primary concern is ensuring that the burden doesn’t unfairly fall on commuters.

“Ang suweldo sa mga ginikanan kulang pa man gani na sa kaon ug kulang pud sa pamasahe. Pugong gyud tuod usa mi karon nga wala usay increase sa pletehan kay sayod ta dako ang epekto,” he told SunStar Cebu on Tuesday, Sept. 19, 2023.

(Parents’ incomes are already insufficient for food and transportation expenses. We are holding back, for now, from filing a petition for a fare increase because we know its huge impact.)

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He added that their decision to refrain from filing a petition is primarily their way of understanding the situation of their passengers, some of whom are students and children of ordinary workers.

Major oil companies imposed another hike on Tuesday, Sept. 19. The increase reached as high as P2 per liter for gasoline and kerosene, and P2.50 per liter for diesel.

The latest surge will bring the total increase for the year to P17.50 per liter for gasoline, P13.60 per liter for diesel, and P9.94 per liter for kerosene.

Meanwhile, Perez also expressed dissatisfaction with the government’s approval of what he deemed an inadequate wage increase for regional minimum wage workers.

On Sept. 5, the Regional Tripartite Wages and Productivity Board issued Wage Order No. ROVII-24, which mandates a P33 daily minimum wage increase. The order is set to take effect on Oct. 1.

Perez recognized that the current public utility vehicle (PUV) fare rates may be burdensome for students.

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The current minimum fare for traditional PUVs stands at P12, while modern PUVs charge a minimum of P14.

Perez said that aside from the direct implications felt by commuters, a fare hike could trigger a “domino effect” on price increases across various sectors of the local economy.

Perez then reiterated their call to the National Government to consider the suspension of both value-added and excise taxes on oil by scrapping the Oil Deregulation Law, which he claims plays a significant role in the escalating fuel prices.

Republic Act 8479, or the Downstream Oil Industry Deregulation Act of 1998, vested market forces with the authority to determine the pricing of gasoline and other petroleum-based products for consumers.

Enacted during President Fidel V. Ramos’ tenure, this legislation also stripped the Department of Energy of its ability to intervene in the domestic oil market.

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In an interview with Citrasco chairman Ryan Benjamin Yu last August, he said they had no plans to file a petition for a minimum fare increase and also called for the repeal of the imposed tax on fuel.

Meanwhile, the Land Bank of the Philippines is awaiting approval to restart fuel subsidy distribution.

Landbank said in a statement that it is committed to promptly and efficiently distribute fuel subsidies and cash cards to transport beneficiaries across the country once the election spending ban is lifted.

The Land Transportation Franchising and Regulatory Board is currently seeking an exemption from the Commission on Elections (Comelec) to resume the distribution under the fuel subsidy program.

This pause is due to Comelec Resolution 10944, which prohibits the use of public funds for social welfare projects from Sept. 15 to Oct. 30, 2023, due to the upcoming Barangay and Sangguniang Kabataan Elections next month. (KJF, WBS)

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