Jeepney fare cut by 50¢ beginning Friday

The minimum jeepney fare goes down to P7 from P7.50 starting tomorrow (Friday), the Land Transportation Franchising and Regulatory Board (LTFRB) said Wednesday, as four public transport groups filed a petition for a voluntary fare rollback.

The transport groups requested a 50-centavo fare cut in  Metro Manila, Central Luzon  and Calabarzon—Cavite, Laguna, Batangas, Rizal and Quezon provinces—because of falling diesel prices.

“It is reasonable to provisionally reduce the minimum fare for the first 4 kilometers of jeepney service from P7.50 to P7. However, for the succeeding kilometer, the same shall remain at P1.50,” the transport groups said in their common petition.

The petitioners were Pasang Masda Nationwide Inc., Alliance of Concerned Transport Organization (Acto), Federation of Jeepney Operators and Drivers Association of the Philippines (Fejodap) and Liga ng mga Tsuper at Operator sa Pilipinas Inc. (LTOP).

LTFRB Chair Winston Ginez said the transport board decided to approve the petition without a hearing because it was part of a pending case for permanent fare reduction.

As of Wednesday afternoon, the board was preparing an order for the provisional fare rollback, which would take effect tomorrow, Ginez said.

The petition earlier filed by Negros Oriental Rep. Manuel Iway to make the P7.50 provisional fare permanent and reduce the rate for succeeding kilometers from P1.50 to P1.25 will be heard on Feb. 10.

Acto president Efren de Luna, LTOP president Orlando Marquez, Pasang Masda president Obet Martin and Fejodap president Zenaida Maranan said the prices of spare parts and basic commodities should also go down to reflect decreasing oil prices.

They said the LRT and the MRT should also cut their fares for the benefit of train riders.

Oil glut

Falling world oil prices caused by a glut in global supply prompted the fare cut.

Expected to worsen the glut is the return of Iran to the market, after the lifting of Western sanctions last week as Tehran completed its compliance with a denuclearization deal with six world powers.

Domestic fuel prices dipped further on Tuesday, with Pilipinas Shell and Petron Corp. slashing their gasoline prices by P1 per liter, kerosene by P1.25 per liter and diesel by P1.45 per liter.

Independent distributor Eastern Petroleum Corp. started the price cuts on Monday, reducing its diesel price by P1.50 per liter and gasoline price by P1.10 per liter.

Before the price rollbacks, diesel had been selling at an average of P20.50 a liter and gasoline at P38.10 a liter in Metro Manila. -Erika Sauler