THE Department of Transportation (DOTr) announced on Monday that preparations are underway for the release of fuel subsidies to public utility vehicle (PUV) operators and drivers, as global oil prices continue to rise due to the ongoing conflict in the Middle East.
In a statement, the DOTr, in collaboration with the Land Transportation Franchising and Regulatory Board (LTFRB), is already working on the necessary documentation to facilitate the fuel subsidy program. Transportation Secretary Banoy Lopez emphasized the importance of this initiative, stating, “What is more interesting right now is we have a fuel subsidy.”
Lopez further explained that the department has instructed the road sector to begin processing the required documents so that, should oil prices reach the $80 per barrel threshold, the government can swiftly implement the subsidy.
Meanwhile, the LTFRB is also reviewing pending petitions for fare hikes from transport operators. Lopez noted that even before the Middle East conflict escalated, the agency was already considering the possibility of increasing fares to cope with rising fuel costs.
Fuel prices are set to increase starting Tuesday, March 3, marking the tenth consecutive week of price hikes for diesel. However, industry experts warn that if the conflict involving the US, Israel, and Iran continues, further significant increases in fuel prices should be expected.
The recent escalation in the Middle East crisis intensified in late February after the US and Israel launched attacks against Iran, following years of confrontation over Tehran’s nuclear program and regional influence. The ongoing conflict has already begun to impact global energy markets, prompting the government to prepare measures to cushion the effects on Filipino commuters and transport operators.
