LTFRB Eyes Expanded Fuel Discounts for PUVs Amid Mideast Tensions

The Land Transportation Franchising and Regulatory Board (LTFRB) said it is considering expanding and increasing fuel discounts for public utility vehicles (PUVs) as an alternative to a fare hike amid continued oil price increases driven by the unstable situation in the Middle East. In a statement posted on its official Facebook page on Saturday, July 25, the LTFRB said discussions are ongoing with concerned government agencies and transport stakeholders to determine the best form of assistance for the public transport sector. The agency said it is also reviewing and recomputing pending fare hike petitions as directed by Transportation Secretary Giovanni "Banoy" Lopez. “We are factoring everything in the conduct of 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,” LTFRB Chairman Vigor Mendoza II said. Among the proposals being considered is expanding the existing P10-per-liter fuel discount to help offset the additional operating costs being raised by the PUV sector. The LTFRB said the current fuel discount covers passenger jeepneys and UV Express units, which it described as among the country's most commonly used modes of public transportation. More than 87,000 PUVs have already benefited from the fuel discount, while over 143,000 units have been listed in the program, according to the agency. Mendoza said expanding and increasing the fuel discount is among the options under discussion, although it would require a larger government budget. “We are looking into this proposal as the last option because the discussions on the matter are ongoing, and these discussions include public consultations with stakeholders nationwide,” he said. Supporters of the proposal have argued that expanding the fuel discount would help transport operators cope with rising fuel prices without passing additional costs on to commuters through higher fares. Mendoza said the proposal remains under consideration as the government weighs measures to cushion the impact of volatile global oil prices. The LTFRB earlier committed to expedite discussions on pending fare hike petitions following Lopez's directive to review and recompute proposed fare adjustments.