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Remove tax on fuel to prevent need for fare hike, drivers say

Diego Malacad, United Negros Drivers Operator Center secretary-general.*

Drivers groups in Negros Occidental on Thursday, June 9, called on the national government to cut the Value Added Tax to 6 percent and defer the implementation of excise tax on fuel to reduce its cost.

That would be a better option than to increase the jeepney fare to P15 that the riding public will not be able to afford, Eduardo “Junjun” Asis, Sentrong Samahan ng Tsuper at Operators Negros (SStone) acting secretary general, and Diego Malacad, United Negros Drivers Operators Center secretary- general, said after a transport unity forum Thursday.

Malacad said if the fuel prices continue to rise 75 percent of the drivers of public utility vehicles still operating could drop to 25 percent because it will no longer be financially viable for them to continue.

Asis said SStone and the Federation of Bacolod City Drivers Association headed by Elizabeth Katalbas agree that a fare hike to P15 is not the solution to their problems and is not affordable for most commuters.

He said they will submit their position paper (PA) to Bacolod Rep. Greg Gasataya to resolve the operators’ difficulty in obtaining their provisional authority to operate so they can renew their franchises.

The Land Transportation Franchising and Regulatory Board will not issue PAs if an operator is not a member of a cooperative or corporation, which is a problem, he said.

Asis also said only 15 to 20 percent of the drivers have received fuel subsidies from government.*

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