Malacañang is prepared to provide the public-transport sector with a second round of fuel subsidy to qualified operators, which may be firmed up when President Aquino meets with representatives of the sector hopefully this week, a Palace official said on Monday.

In a news briefing, Deputy Presidential Spokesman Abigail Valte also allayed fears of possible social unrest in the country amid rising oil prices and the impending increase in power rates, toll and commuter train fares in Metro Manila.

Asked about a planned dialogue between President Aquino and public-transport groups amid calls for a strike in protest of high oil prices, Valte said the government is prepared to lay down measures and proposals that may ease their plight, and indicated that a second round of fuel subsidies may be one of them.

“We have some measures that we are prepared—and can afford—to do. Over the weekend, we were asked if we can provide another tranche of Pantawid Pasada…. We have more than enough budget to implement a second tranche,” she said.

Valte noted that the first tranche of Pantawid Pasada released to qualified public franchise holders was successful as it deterred a fare-hike petition.

She added that Malacañang is also prepared to look at other requests that the transport groups may have.

She said the President will listen to the transport group leaders, and will tell them what the government can do or strive to do to address the situation.

“We are aware of their concern over the prices and this is one way for the President to personally hear from the transport groups their personal sentiments…. The dialogue is there for the President to hear their concerns and for us to be able to find ways to move forward given their concerns,” Valte said.

On the refusal of transport group Pinag-isang Samahan ng Tsuper at Operators Nationwide to join the Palace dialogue, Valte said it would be “unfortunate” as their voice would not be heard. But she noted that “the other transport groups have welcomed the invitation of the President and that they will be engaging the President in dialogue.”

She said there are at least six groups that have signified their intention to participate in the dialogue but declined to reveal them.

Valte also assured the public that if a transport strike materializes, the Metropolitan Manila Development Authority has expressed its readiness to assist commuters who may be stranded in certain areas.

She also reminded holders of public franchises that they have a responsibility to provide ease of travel to the public, and any violation in the terms of their franchise would be looked into.

Valte also allayed fears generated by the warning of Sen. Ralph Recto that a simultaneous increase in transport fares, toll and power rates—on top of higher oil prices—may trigger social unrest in the same magnitude as in some countries in the Middle East.

“It won’t [happen]. We are sensitive to the sentiments of our people and this would not happen all at the same
time. As the President had said, we can assure you that there is a timetable for this,” she said.

Valte explained that based on the computation of the Bureau of Internal Revenue, the imposition of the 12-percent value-added tax on toll rates at the North and South Luzon Expressways would not create a significant impact on transport fares and on goods.

She said Internal Revenue Commissioner Kim Henares has computed the impact of higher toll fees on the cost of eggs, for example, at just P0.0042 per egg.

“The impact is very minimal when it comes to the cost of goods. She also has a similar computation for the impact of…the imposition of VAT on passengers, on passenger buses,” Valte said.

As for the higher MRT and LRT fares, she said, “There will be a corresponding improvement in the services of the trains so that…it will not be an unnecessary burden on the passengers.”

“We intend to also improve services at the MRT and LRT,” she said.