SUN STAR: Metro Manila jeepney fare cut by P1
DECLINING oil prices in recent months pushed the Land Transportation Franchising and Regulatory Board (LTFRB) on Thursday to announce a P1 rollback in jeepney fare in Metro Manila.
LTFRB Chairman Winston Ginez said the minimum fare will now be P7.50 from P8.50 for the first four kilometers.
He said the discounted fare for students, persons with disability and senior citizens is also included in the rollback, which means that they will only pay P6 in the first four kilometers.
Following this announcement, a party-list lawmaker expressed hope that producers of basic necessities and prime commodities will heed the Department of Trade and Industry’s (DTI) call for lower prices.
“It is only right that ordinary consumers start to directly benefit from the plunge in fuel prices,” said LPG Marketer's Association Representative Arnel Ty.
Citing Department of Energy (DOE) statistics, the lawmaker the price of diesel, which is the commonly used transport fuel, ranged from P33 to P36 per liter as of December 4, down 22 percent from P42 to P46 a year ago.
He added that retail prices of cooking fuel are now around P530 to P570 per 11-kilogram cylinder, down 42 percent from P980.
Ty also sees world crude oil prices continuing to decline in 2015, owing to a big supply along with sluggish demand.
“There is a flood of oil, while Europe and China are consuming less fuel due to the slowdown in their manufacturing activities,” he said.
World crude oil prices are now hovering around $65 per barrel, down some 40 percent since June.
“The immediate positive impact is substantially lower electricity as well as transportation costs, which in turn should provide manufacturers greater leeway to reduce their selling prices,” Ty said.
Under the law, basic necessities include rice, corn, root crops, bread; fresh, dried or canned fish and other marine products; fresh pork, beef and poultry meat; fresh eggs; potable water in bottles and containers; and drugs classified as essential by the Department of Health (DOH).
Prime commodities include flour; dried, processed or canned pork, beef and poultry meat; dairy products not falling under basic necessities; onions, garlic, vinegar, patis, soy sauce; toilet soap; fertilizer, pesticides and herbicides; poultry, livestock and fishery feeds and veterinary products; paper; and school supplies. (Sunnex)