The Department of Transportation’s (DOTr) Rail Regulatory Unit (RRU) is set to decide on the Light Rail Manila Corp. (LRMC) petition to increase fares on the Light Rail Transit Line 1 (LRT1) within the next 30 days.
The LRMC, which operates LRT1, has proposed an average fare increase of ₱7.48 per passenger. If approved, the maximum fare for a single journey would rise from ₱45 to ₱60.
The current fare structure includes a ₱13.29 boarding fee and a ₱1.21 per-kilometer increment, last adjusted in 2023.
DOTr Assistant Secretary for Railways Jorjette Aquino explained the timeline:
Aquino emphasized that the decision could result in no increase, full approval of the proposed amount, or a partial adjustment.
LRMC president and CEO Enrico Benipayo defended the petition, citing:
He also noted that LRT1 has only had one fare increase since LRMC’s private takeover in 2015, despite being allowed to adjust fares every two years.
Benipayo stated that deferred fare hikes have resulted in a ₱2.17 billion fare deficit as of November 2024, which could reach ₱7 billion by 2028 without adjustments. He argued that raising fares would prevent the government from absorbing the deficit, freeing up funds for other priority projects.
Several groups opposed the petition during the public hearing:
The DOTr-RRU will evaluate the petition alongside stakeholders’ feedback and is expected to release its decision by early February.
#Top Tags COVID Covid-19 Technology Finance Investing Sustainability Economy
and receive a copy of The Crypto Cheat Sheet (PDF)
and NFT Cheat Sheet for free!
No comment yet, add your voice below!