“Magkakaroon tayo ng subsidy para sa lahat ng may prangkisang pampublikong transport [There will be a subsidy for all public transport franchises],” President Benigno S. Aquino III told reporters in an ambush interview during the load-out ceremony of the BP Whiting Refinery Modernization Project here.

The subsidy, which will be contained in an executive order to be issued in the coming days, is roughly equivalent to P3 per liter of diesel purchased by PUVs for a month.

Private transport franchises will be given smart cards to be produced by two banks, one of which is the Land Bank of the Philippines.

The President said the P500-million subsidy will be sourced out from the government’s savings. No details were given as to which government or line department will be on top of the program and whose budgetary savings it comes from.

“For a period of at least one month, meron tayong ilalabas mga kulang-kulang [we will provide about] P500 million so at least all of these vehicles with the necessary franchises [will be able to avail it],” Aquino said, adding that the spike in oil prices influenced by offshore political upheavals is beyond the government’s control.

A month after the implementation of the subsidy program, the government will conduct a review to determine if it will be extended.

“For those who have been granted the franchise, kinocontrol natin para hindi ma-divert itong subsidy kung saan-saan [We’re controlling the subsidy to ensure that it will not be diverted elsewhere],” Aquino said.

The militant transport group Pinagkaisang Samahan ng mga Tsuper at Operaytors Nationwide (PISTON) said Malacañang’s decision to grant PUVs subsidy is proof that the transport caravan it led on Thursday was successful.

PISTON secretary general George San Mateo claimed vindication of his group’s position against the unabated price increases in petroleum products, saying their nationwide protest has influenced President Aquino to approve the executive order allocating P500 million to subsidize P3 per liter of diesel purchased by PUVs for a month.

But San Mateo reiterated that Malacañang’s initiative will be an act of futility if government will still refrain from controlling the oil industry and if it won’t waive the expanded value-added tax (EVAT) coverage on petroleum products.

PISTON found an ally in two lawmakers who called on the President to address the long-standing problem of oil overpricing and profiteering by leading the move to repeal the Oil Deregulation Law.

Anak-pawis Partylist Rep. Rafael V. Mariano and Bayan Muna Rep. Teddy Casiño, authors of bills seeking the repeal of Republic Act 8479, said it is about time for the Aquino government to “significantly” resolve the oil price problem, pressing for an indefinite suspension of EVAT on oil and a return of “regime of regulation” in the oil industry.

“The next five years will be politically costly for Aquino if he fails to stop excessive oil price hikes and curb the greed of oil companies,” Mariano, author of the House Bill 4317, warned.

Minimal effect

Police said the transport caravan participated in by at least 1,000 protesters did not affect commuters in the metropolis, Director Nicanor Bartolome, chief of the National Capital Region Police Office (NCRPO), said.

But the situation is not the same in Angeles City in Pampanga and Cagayan de Oro City in Mindanao where the transport strike was strongly felt, said Chief Supt. Agrimero Cruz, Jr., spokesman of the Philippine National Police.

“Transportation in Angeles City is paralyzed due to citywide transport strike,” said Cruz, quoting field reports from the Central Luzon regional police.

“Public utility transportation in Cagayan de Oro City is 94 percent paralyzed,” he added.

Madel Sabater, Manila Bulletin