HOTSPOT
An official of the Land Transportation Franchising and Regulatory Board this week said that provisional fare hikes may be approved by November, in response to petitions and pleas from transport groups and jeepney drivers.
This is understandable because as Ibon Foundation points out “diesel prices have increased by ₱15/liter and kerosene prices by ₱14.25/liter since July 11, while gasoline prices have risen by ₱10.05/liter since July 18.”
The promised government subsidy simply can’t keep up with the crushing effects of runaway oil prices and inflation: 1.3 million jeepney drivers will share ₱3-billion in subsidies, while another ₱1 billion go to about 312,000 farmers and fisherfolk.
“A jeepney driver who uses 30 liters of diesel daily is losing ₱449 per day; the ₱6,500 subsidy will only cover two weeks of losses,” Ibon notes.
Ibon also said the subsidies for farmers and fisherfolk, amounting to only ₱3,000 per recipient, is “a meager amount compared to the ₱15,000 production subsidy demanded by peasant groups.”
Neither the fare hike nor the subsidies would turn jeepney drivers into millionaires.
The situation is so dire for millions of families as we approach the last quarter. Congress could be obligated and justified to take drastic measures and compel the administration to follow its lead.
One such measure is the suspension or removal of the value-added tax and excise tax on petroleum products. Such a move will immediately result in decreases in oil prices and curb inflation nationwide.
This measure has long been proposed by progressive-minded economists, lawmakers from various parties, and labor centers from different persuasions. But unfortunately, there is an apparent lack of interest to provide such a relief to citizens, and more determination to squeeze even more taxes from them in this time of economic crisis. The higher the prices, the higher the taxes consumers pay.
Another extraordinary measure that Congress may take is to enact a law legislating an across-the-board wage increase nationwide. It is a demand of organized labor from the Kilusang Mayo Uno to the Federation of Free Workers.
The regional wage boards are moving at a snail’s pace, compared to movement of oil prices and inflation. They are part of the problem of workers. In regions where increases were granted, workers moan that they’re “more an insulto than an umento.”
Congress has the power to raise wage levels. It should use that power.
Before approving the 2024 budget, Congress could also press the administration to appoint a full-time agriculture secretary, demand the immediate arrest of big-time smugglers and hoarders, certify as urgent the immediate repeal of the Rice Tarrification Law, release NFA rice to public markets, and provide adequate aid to rice retailers and farmers.
We should also ask all government officials starting with the President and Vice President to implement strictest austerity; give up discretionary, confidential funds; rechannel appropriations towards education, health, agriculture and public transportation; and implement progressive taxation by lowering taxes for the majority of the people while imposing a billionaire wealth tax. Government officials must also make sacrifices.
Such measures and steps can unite the people from across the political divide, and rally the jeepney drivers, farmers, fisherfolk, minimum-wage earners, the “endo” and contractuals, health workers and public school teachers, and the lower middle class.
Because at this challenging time, Congress and the administration should not give Filipinos only the “bare minimum” aid or, worse, tokenism. They have all the powers (and the financial resources) to help citizens being crushed by runaway prices and inflation. Hopefully they find the courage, creativity, and imagination to make politics boldly work for and benefit ordinary citizens.
Could leaders of Congress and the administration manage to surprise us and themselves?