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Jeepney drivers hope for bigger fuel subsidy amid oil hike

AT least a P5.00 oil price hike is set to be implemented this week due to the worsening conflict in the Middle East and the weakening trend of the Philippine Peso
AT least a P5.00 oil price hike is set to be implemented this week due to the worsening conflict in the Middle East and the weakening trend of the Philippine PesoPhoto by Aljon Danniell Eguia for DAILY TRIBUNE
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Jeepney drivers are expecting a bigger fuel subsidy ahead of the looming big-time oil price hike this Tuesday.

The Department of Transportation (DOTr) announced that a P2.5 billion fuel subsidy package is being prepared by the national government and will be distributed soon.

Ariel Suzon, a jeepney driver on the Monumento–Polo route, welcomed the news but said the subsidy must be larger than previous distributions to offset the impact of rising fuel prices.

“Before, there was a fuel subsidy of P4,000, however, if these price hikes continue, a subsidy of that amount will not be enough,” Suzon said.

He added that drivers still have no clear information on the distribution schedule or how much they will actually receive.

For now, Suzon said the subsidy will help keep them afloat, but warned that if oil prices continue to rise, they may be forced to push for a P5 increase in the minimum fare—from the current P13 to P18.

Earlier Monday, independent oil companies agreed to the Department of Energy’s request to stagger the implementation of the upcoming oil price hike.

“If the increase reaches P5, perhaps we can implement P2.50 first this week, and the remaining amount next week,” DOE Oil Industry Management Bureau Assistant Director Rodela Romero said in a radio interview.

Oil companies Shell, Caltex, and Seaoil have announced they will split their gasoline price hikes into two phases — one on Tuesday, 24 June, and another on Thursday, 26 June.

Suzon said this move would help soften the blow for public utility drivers.

“That’s okay — it’s actually better that way so the increase won’t be abrupt, and it gives us a bit of time to prepare before the full hike kicks in.”

Once fully implemented, Suzon estimates he will lose an additional P200 from his daily income.

“We will catch up by adding an extra trip — it’s a sacrifice because we’ll get home late, and that trip takes about 2 hours, so we might not get home until around 9 p.m.”

As a cost-cutting measure, Suzon said they are now refueling through a small-time gas distributor, which offers diesel at least P7 cheaper per liter.

Meanwhile, jeepney group PISTON staged a protest on Monday, demanding the repeal of the Oil Deregulation Law and the suspension of the value-added tax (VAT) and excise tax on fuel products to lessen the burden on transport workers.

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