LTFRB touts service contracting as transport groups fear coming oil price hikes

Passengers pictured at Tandang Sora Jeep Terminal in Visayas Avenue, Quezon City on Oct. 19, 2021. The Department of Transportation is pushing for an increase in passenger capacity of public utility vehicles following the downgrading of Metro Manila's COVID-19 alert level from 4 to 3.
The STAR/Michael Varcas

MANILA, Philippines — Despite coming oil price hikes, the Land Transportation Franchising and Regulatory Board on Friday touted the supposed successes of its service contracting program once more with transport groups still bemoaning the delayed payout from the program. 

At a press briefing Friday morning, the LTFRB said that as of June, 64,157 public utility vehicle units have been onboarded under the government's service contracting program, where they are paid based on how many kilometers they run instead of how many passengers they bring in. 

Based on its latest data, the LTRFB on Thursday also said that it had already distributed P1.17 billion worth of fuel subsidies to 68% of its beneficiaries. For service contracting units, 4,368 routes have also been opened.

Asked about routes still left unopened since transport was shuttered due to the coronavirus pandemic, LTFRB chair Martin Delgra said it was local government units who were responsible for "determining and approving...what they need on the ground." 

The LTFRB leaned on its usual claim that routes are still continuously being opened, but that they are doing so gradually to safeguard the health of transport worker and commuters. 

To allay calls for a fare hike amid the oil crisis, the national government said it would instead double the fuel subsidy to P5-billion while traditional public utility jeepneys would officially be included in the service contracting program. In exchange, jeepney groups set aside their calls for the time being in March.

But groups representing transport workers — particularly those still plying jeepneys not covered under the PUV modernization program — say they still feel left behind by the project as they haven't received their subsidies yet. 

Jeepney drivers are also in trouble once more as they face the threat of yet another oil price hike next week.

"Operators are now operating at a loss, and drivers are earning well below the minimum wage. It is unfair, unjust, and illegal to continue with this fare rate," transport group Pasang Masda's earlier petition to the LTFRB reads.

LTFRB panned for inaction amid continued oil price hikes

In a text message to Philstar.com, Mar Valbuena, chairperson of transport workers' group Manibela called on the Government, particularly the Department of Energy, "to study and plan what to do about the relentless rise in oil prices," and "clarify and expedite the provision of fuel subsidy."

"Drivers and operators no longer earn much from transport," he said in Filipino, saying this was "one of the things that will help to alleviate the burden of the price of petroleum."

"We are asking for understanding from our dear riders as to why very few people are passing by now because it is really difficult to transport along with service contracting that many more were not included in the program who suffered because there was no one to ride. I hope these are thought of...we will cooperate in finding a solution if we were only listened to."

Speaking in an interview aired over DZRH, Liga ng mga Transportasyon at Operators sa Pilipinas national president Orlando Marquez said that transport groups would "bury" the LTFRB with complaints in the coming days. 

"He's more slippery than a catfish. He doesn't even talk to us, he doesn't even have a public consultation," he said in Filipino. 

Marquez hit the leadership of Delgra, saying the LTFRB only life difficult for drivers in the middle of a pandemic.

"We intend that all the wrongs that he has implemented will be referred to the court so that we can leave him with a lesson," he also said in Filipino. 

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