Transport network vehicle service drivers report that a recent P20 base fare hike does not adequately compensate for soaring fuel prices, leading to financial losses and operational challenges.
A group representing transport network vehicle service (TNVS) drivers has stated that the recent P20 increase in the base fare is insufficient to offset the rising costs of fuel, which have significantly impacted their daily earnings. Jun de Leon, president of Laban TNVS, explained in a March 18 interview that despite the fare hike, the dramatic increase in gasoline and diesel prices has caused many drivers to suffer losses of about P500 per day. Some drivers reportedly earn as little as P300 after an 18-hour workday. De Leon also pointed out that the P5,000 cash aid provided by the government is inadequate, as a full tank of fuel now costs approximately P3,000, quickly depleting this assistance. In response to financial strains, some operators plan to reduce boundary fees charged to drivers. The group warns that without significant measures, more drivers may cease operating, exacerbating the shortage of available TNVS rides. Nearly 20% of drivers in the group have surrendered their vehicles due to sustained losses. Fuel prices continue to climb amid geopolitical tensions in the Middle East, with diesel prices potentially reaching P114 per liter. The Land Transportation Franchising and Regulatory Board (LTFRB) recently implemented fare increases for various public utility vehicles, attempting to balance sustainability and passenger affordability. Transportation groups remain divided on the adequacy of these fare adjustments.
Sources referenced:
- https://www.gmanetwork.com/news/topstories/nation/980423/p20-base-fare-increase-not-enough-amid-rising-fuel-prices-laban-tnvs/story/
