(File photo)
MANILA – A lawmaker on Tuesday called on the Department of Transportation (DOTr) and the Land Transportation Franchising and Regulatory Board (LTFRB) to immediately release the earmarked PHP5 billion worth of fuel subsidies to mitigate the effect of runaway fuel prices on public utility vehicle (PUV) drivers and operators.
In filing House Resolution 2515, San Jose del Monte City Rep. Florida Robes said the unabated oil price surges would further burden the "already long-suffering public utility drivers" who have yet to recover from the "ill-effects" of the coronavirus disease (Covid-19) pandemic.
Robes said there is some PHP5 billion worth of fuel subsidies listed as unprogrammed appropriation under the 2022 General Appropriations Act (GAA), which can only be accessed if government revenue collection exceeds the revenue target.
Last week, the Department of Budget and Management (DBM) said it just released PHP3 billion -- PHP2.5 billion for the public transport sector and PHP500 million for farmers and fisherfolk -- worth of fuel subsidy. Some 377,443 beneficiaries are eligible for the fuel subsidy.
The Cabinet’s Economic Development Cluster has recommended increasing the transport sector's subsidy from PHP2.5 billion to PHP5 billion.
“The DoTR and the LTFRB are tasked to issue the fuel subsidies. However, it is taking it some time to release the assistance supposedly due to certain requirements needed from drivers," Robes said in her resolution.
She said the exponential increase in oil prices has created an extraordinary situation for PUV drivers that need immediate and decisive action from the government, particularly the DOTr and LTFRB.
“The DOTr and LTFRB should be mindful of the exigency of the situation and proceed with dispatch the immediate release of the fuel subsidy in order to give reprieve to our public utility drivers who are still reeling from the economic effects of the Covid-19 pandemic,” she said.
Robes said the Russian invasion of Ukraine in the past weeks has raised the prices of crude oil to more than USD110 per barrel in the world market which has led to an exponential increase of local prices of petroleum products by PHP3.60 on gasoline per liter, PHP5.85/l on diesel, PHP4.10/l on kerosene and PHP3 per kilogram for liquefied petroleum gas last week.
She said the price of crude oil has ballooned to more than USD120 per barrel prompting another round of price increase this Tuesday in the local market, noting that diesel has gone up by more than PHP13 per liter while gasoline is higher with an additional PHP7 per liter increase. (PNA)
