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PNR to seek fare hike despite lower oil prices

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FILE PHOTO: Philippine National Railways train passing in this part of Paco, Manila (KRIS NOEL / Photoville International)

MANILA, Philippines – After MRT imposed its fare hike, the Department of Transportation and Communications (DOTC) will also be adjusting fare in the state-run Philippine National Railways (PNR) despite lower oil prices.

Almost all PNR trains run on diesel, which is much different from the MRT that runs on electricity.

For more than 20 years, PNR relies on the subsidy of the government and had not yet implemented a fare increase.

Based on the PNR Board Resolution 094-2014 dated December 9, 2014, the minimum fare will increase from P10 to P15, and the maximum fare from P45 to P60.

This is cheaper and faster compared to a bus ride from Calamba, Laguna to Manila which costs more than one hundred pesos.

Atty. Migs Sagcal, DOTC Spokesperson explained that despite the surge in oil prices for the past few years, PNR had not seek for any fare increase and only pushing it this time to make up for its losses.

“For the last 20 years, PNR has not implemented any increase even in those times when prices of oil is high, so PNR’s operation cost does not catch up with its revenue,” he said.

But before the fare hike is implemented, PNR officials must first explain the loophole in the fare collection system.

Currently, fare collectors at the PNR makes use of tickets and passengers either present their tickets to inspectors on-board the train or surrender their stubs as they exit their destination.

Some passengers do not pay the right amount for the length of travel.

Philippine National Railways revenue reaches P3 million to P5 million per month, but PNR officials said that the revenue is not enough for the rehabilitation needed to improve their service.

Some groups opposed the fare hike and said that the PNR is not losing profit due to the continuous decrease in oil prices.

“Railway must be considered as a service, it is not acceptable that government is losing profit while it is business in nature,” RILES Network spokesperson Sammy Malunes said.

In a month or two, a public consultation will be conducted to discuss the fare increase.

Meanwhile, PNR is planning to revive the Bicol express route, which will run from Tutuban in Manila to Peñafrancia in Bicol and vice versa. (Mon Jocson / UNTV News)


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