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Thursday, July 01, 2004
Complaints on fare rates
By (Writer’s name withheld upon request)
I have read the reaction of the riding public and other groups affected by the recent hike in fare rates. It is normal for them to react because of the sudden impact of the increase to their budget. But there are overreactions.
My drivers told me that passengers don't follow the official rates listed in the Land Transportation Franchising and Regulatory Board (LTFRB) matrix. They give coins and disembark. The seat cover of one of my jeepneys was slashed the other night. One passenger stabbed a conductor in Colon after arguing about the rates.
Legal
The rates we are charging now are legal. These passed through public hearing and strict and lengthy scrutiny before they were approved and implemented. If LTFRB people erred in the computation, let's review it again and conduct another public hearing.
Increasing transport fares is but a means to ensure continued PUJ operation and survival. These are meant to allow operators and drivers to cope with the increase in fuel, spare parts and maintenance costs. For me, uncontrolled rise in the prices of fuel and spare parts is the root cause of the problem.
Operating PUJs is not simple. In ferrying passengers, there is the so-called contract of carriage, wherein we are obliged to carry our passengers safely up to their point of destinations. Ferrying passengers is highly delicate and risky. We procure two sets of insurance for this.
Also, we need strong and dependable and well-maintained units. Drivers should be physically fit, strong, calm and intelligent. Then there’s traffic congestion and strict road rules and regulation.
All these make PUJ operation risky and unprofitable.
The riding public considers the increase in the minimum fare of P1.50 and P1 per additional kilometer as a burden because of the economic difficulties. But if one would consider the direct costs and overhead expense, gamay ra gyod na intawon.
Not unfair
A fare of P5.50 ($0.10) for carrying a person safely for four kilometers is not really unfair compared with those in other countries. My sister, who is in Nevada, told me that the minimum bus fare for short-distance travel there is now $1.50. When she visited Cebu and paid a taxi fare equivalent to $20 for a 7-mile trip, she considered it okay.
To be fair, reducing PUJ fares is not the only thing needed to lighten the public’s economic woes.
For example, a surgeon doing an operation for one hour or less can easily charge a professional fee of P20,000- P50,000. My wife, who worked for a local hospital for 18 years, criticized a consultant doctor who charged P25,000 for one day confinement of a foreigner patient who suffered simple stomach ache.
In our markets, a variety of fish costing P35 per kilo in Bantayan already costs from P70 to 90 per kilo in Cebu city. A businessman selling Vietnam rice buys it at P300-P400 per sack, with landed cost of P600. It is then sold at P1,200.
And the list goes on and on.
Be fair
Because of lack of government support in controlling prices and lack of consumer reaction, almost all of us are carrying the burden of unjust pricing.
So hangyo lang sa riding public, please be fair. Don’t just react to the rise in fare rates but monitor prices of commodities and services as well.
(July 1, 2004 issue)
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