DOTr explains: LRT-1, LRT-2 fare hikes had Marcos Jr.’s approval

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MANILA — President Ferdinand “Bongbong” Marcos Jr. agreed to raise fares — an increase he wanted deferred in April — on the LRT-1 and LRT-2 because inflation was already easing, according to the Department of Transportation.

Transportation Assistant Secretary for Railways Jorjette Aquino on Tuesday explained the rationale behind the impending August 2 fare hike in an interview by CNN Philippines.

“On June 6, Secretary [Jaime Bautista] met with the president wherein [he] gave a statement that the inflation rate has improved from 6.6% to 6.1% and that the employment rate is also increasing,” explained Aquino.

“So he gave us the instruction that we can now proceed with the implementation of the fare increase for LRT-1 and LRT-2.”

Marcos earlier ordered the deferral of the LRT-1 and LRT-2 fare hikes in April in light of rising prices.

The Light Rail Manila Corporation (LRMC), the private operator of the LRT-1, earlier filed for a petition of fare hike way back in April 2022.

LRMC had filed for multiple fare hike petitions in the past, but to no avail. Part of the LRT-1’s privatization concession agreement includes the power to request for an increase every two years: either periodic or via an inflation rebasing method in coming up with the notional fare.

The Light Rail Transit Authority, the government-run owner and operator of the LRT-2, and the privately run Metro Rail Transit Line 3 also filed a petition for fare increase.

“Based on that, they filed it with [the] LRTA and the board then had a consensus with the fare increase committee of the LRTA that it would best implement a fare increase for LRT line and 2 basing it on the inflation [rate] of 2018.”

“The P13.29 new fare or increase of P2.29 per boarding fare and P0.21 per kilometer was actually what was approved by the board of the LRTA.”

House committees to hold hearings during break

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Spread the loveMANILA – The House of Representatives has authorized for its committees to conduct hearings during the five-week congressional break, extending until late April.

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