No Fare Hikes Until March: LTFRB

No Fare Hikes Until March: LTFRB

That includes regular PUVs and PNVs as well

People bracing for higer fares because of the new tax reform law will be able to breathe a sigh of relief, at least until March: despite receiving several petitions from transport groups and TNVs like Grab, the Land Transportation Franchising and Regulatory Board (LTFRB) says that the earliest date when it can hand out a decision on fare hikes would be on March.

Because the fare hikes asked by the different groups aren’t just rooted in increasing oil prices but are instead anchored on the inflationary impact of the new TRAIN law, LTFRB board member Atty. Aileen Lizada said that consultations need to be held with stake holders and the people who will be impacted by the price hikes.

That means going through the office of the Solicitor General, as well as the National Economic and Development Authority (NEDA) who will calculate the impact of the new excise taxes as well as worker’s adjusted take-home pay.

The LTFRB also warned players and transport groups against increasing fares, as any increase needs to be cleared by the LTFRB first. Lizada said that they would not hesitate in imposing fines, suspending or outright cancelling franchises of people who raise fares without the go ahead of the agency.

“While we are a regulatory body, we see the commercial side of it. We need to protect the riders. However, the business has to be viable and sustainable, in this case on the part of the TNCs and the TNVS,” said Lizada.

She said regulators have “to find that fine balance, which is acceptable to the riding public, one [decision] that we are able to defend, but also sustainable on the part of the TNCs to do business here,”while also ensuring that workers and commuters have a “decent take home pay.”

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