Give Fuel Subsidy To Jeepney Drivers, Not Operators – Transport Group

A transport group leader is calling on the government to provide fuel subsidies to jeepney drivers and not operators amid continuing oil price hikes.

Melencio Vargas, national president of the Alliance of Transport Operators and Drivers Association of the Philippines (ALTODAP), told “Agenda” on One News on Tuesday, Aug. 1, that fuel subsidies should be prioritized as these directly aid the jeepney drivers.

But Vargas said operators, who tend to steal subsidies, are still declared beneficiaries.

Vargas noted operators can be blacklisted if exposed to be pocketing the fuel subsidies. In collaboration with the Land Transportation Franchising and Regulatory Board (LTFRB) and Department of Transportation, he said it should be cascaded that subsidies are meant to aid drivers during their daily trips.

“Operators will only receive the subsidy…then you give it to the driver so they will be aided when they refuel…that’s how it should be ideally but in the past, we lack (information) drives that LTFRB should cover,” he said.

“Meanwhile, Land Bank (of the Philippines) will speak on behalf of the drivers while collaborating with us national transport leaders to provide proper explanations. As we all know, not all programs reach their target audiences,” he added.

He expressed hope for all stakeholders to collaborate to ensure drivers fully benefit from the fuel subsidies.

Vargas also said the “Magnificent 7 + 1,” formed by the country’s biggest transport groups, are set to convene to discuss the oil price hikes’ impact. According to Vargas, the meeting also ensures a solid plan for help to be presented to the government.

On Agenda, host Cito Beltran suggested that a list for drivers be prepared. Beltran said per operator, vehicle quantity as well as the drivers’ names should be declared in order to protect them.

But according to Vargas, only plate numbers are in the LTFRB’s list. Currently, this is Land Bank’s only basis when releasing subsidies, he said.

Vargas revealed a similar concept was already explored in the past.

“But maybe you are right…I just got an idea that drivers should have a list…[but] actually we had plans before…wherein a list of drivers will be submitted to the LTFRB…we’ll have them submit their names as well as who their operators are,” Vargas told Beltran.

“But that did not push through in the past…but now that it was pointed out…hopefully when the Magnificent 7 plus Mighty One meet, it would be suggested that drivers themselves create a list so when subsidies are released, they would personally receive them,” he said.

Vargas also said the oil price hikes should no longer affect commuters through fare increases, given their reliance on public transport, especially after calamities had hit the country.

“Whenever fuel rises, we also increase our fares…but for me, given the situation, given that we have been affected by calamities, I do not want to add to our passengers’ plight…after all, most of us have become a jeepney passenger at some point,” he stressed.

Alternative means?

Beyond fuel subsidies, it was also suggested that jeepney drivers cut trips. If followed, drivers would only ply their routes during rush hours.

Vargas said drivers and operators can also reach a compromise to earn despite reduced profits hypothetically.

“For example, I am an operator and I rely on the boundary system, but my driver will not work… then we will both lose out right?” he said.

Vargas bared a “surge price” system was once proposed but it was scrapped due to lack of proper mechanics, among others.

Surge price is increasing the price of a service when in high demand. The concept is used in transport network vehicle services wherein prices are higher during rush hours.

For jeepneys, the proposal meant fares would be higher every 5 a.m. to 8 a.m. and 5 p.m. to 8 p.m. While it may be considered, Vargas admitted “creating the mechanics is the heaviest part of this proposal.”

Vargas called on authorities to immediately provide assistance to jeepney drivers so as not to force them to quit their jobs.