The Land Transportation Franchising and Regulatory Board (LTFRB) will bring in economic and labor specialists for its upcoming hearing on public utility vehicle (PUV) fare hike petitions as it assesses the potential financial strain on commuters and the macroeconomy.
LTFRB Chairman Vigor Mendoza II stated that representatives from key government bodies—including the Department of Economy, Planning and Development (DEPDev), the Department of Labor and Employment (DOLE), and the Department of Energy (DOE)—are slated to deliver expert evaluations on how prospective fare increases might impact consumers, workers, and economic growth.
“We all heard the concerns and arguments raised by the transport groups on their fare hike petitions. They are all valid and legitimate and our task now is to validate the data they presented in terms of operational costs vis-à-vis their daily income and that of the drivers,” said Mendoza.
Mendoza stressed that while transport groups have legitimate claims following a string of fuel price hikes, the agency must weigh these against the public’s purchasing power.
“But we also need to hear what the DEPDev and other agencies concerned have to say because we are all aware that any fare adjustment of any amount will have effects on the economy and the public’s purchasing power,” he added.
During Monday’s session involving transport organizations and commuter advocates, seven transport groups presented their arguments for rate adjustments. Moving forward, the board plans to consult DEPDev on inflation impacts, DOLE on driver welfare, and DOE on long-term oil market trends.
“The necessity to assist the PUV sector is already there because of the series of oil price hikes in the past weeks. The question, however, is that if fare adjustments are approved, what would be the ideal amount that would have the most minimal inflationary effects but are acceptable to everybody,” said Mendoza.
“This is the part where the insights of experts from DEPDev and other concerned agencies will play a key role,” he added.