By Alec Go
A total of 377,443 drivers of public transportation vehicles and delivery riders are expected to benefit from the government’s P2.5 billion fuel subsidy fund, the Department of Budget and Management (DBM) said.
In the Palace briefing today (March 11), DBM Undersecretary Rolando Toledo said each beneficiary verified by the Land Transportation Franchising and Regulatory Board (LTFRB) will receive P6,500. The payout is expected to begin next week.
“Kabilang dito ang jeepney drivers at mga driver ng UV Express, mini buses, bus, sa shuttle services, taxis, tricycles, at iba pang mga full time ride hailing – example nito ang ating transport network vehicle service (TNVS). Kasama rin dito ang motorcycle taxis at deliver services sa buong bansa,” he said.
The subsidy will be distributed directly to drivers, rather than qualified franchise holders or operators, through cash cards issued by the Landbank of the Philippines which can be used in participating retail stores.
Landbank and LTFRB will coordinate for the list and reports on “successful credit” of the subsidy, while the Department of Energy will work with participating oil companies and oil retail stores.
The DBM on Thursday (March 10) announced the release of the P2.5 billion subsidy budget, together with the P500 million fund for the Department of Agriculture’s (DA) Fuel Discount Program.
The DA discount program, which cash comes from the Development Bank of the Philippines, provides a 30% oil discount to each farmer and fisherfolk beneficiary. The maximum amount for the assistance is P3,000 per beneficiary, according to Toledo.
Second tranche
According to the official, the second tranche of the P2.5 billion subsidy is subject to excess revenues certified by the Bureau of Treasury (BTr) and the evaluation of the first tranche’s effectiveness.
He said it “is expected to be distributed next month” to be charged from unprogrammed appropriations which remains “subject to excess revenue availability.”
“We expect that the BTr will certify at the end of the month or the first week of April so that we can release the second tranche of the P2.5 billion,” he said.
“The BTr is already looking at sources of these excess revenues… They have already identified the source of excess revenues which is awaiting for probably at the end of the month,” he added.
The first tranche of the subsidy is sourced from the Transportation Department’s budget for 2022.
Meanwhile, the DBM said the Development Budget Coordination Committee is against the proposed suspension of the imposition of fuel excise tax which could result in “P117 billion foregone revenue,” calling it “detrimental to recovery and inequitable.” -rir
