PIA Press Release
Monday, November 22, 2010
Gov't. postpones MRT, LRT fare increaseManila (November 22) - The government has postponed the fare increase on the Metro Manila Rail Transit (MRT) and Light Rail Transit (LRT) lines to the first quarter of 2011 because of time constraint.
Transport Secretary Jose de Jesus said it's too late to implement the fare increase at this time because it still has to undergo some processes.
De Jesus said his department was still studying the impact of the proposed rates on the riding public, but declines to say by how much the fares would increase.
He added that it's not a simple process and public discussions would have to be held before the rates were decided.
The plan to raise the fares are aimed at reducing the government's subsidies to train riders in the face of its ballooning budget deficit.
The government is also exploring how to raise revenue while easing the burden on pasengers when it reduces its subsidies on the paying public.
The government operates only the MRT 3 on EDSA. MRT Devco holds the rights to develop commercial premises for advertising and other promotional businesses that bring non-rail revenue to it.
But the government, through the Light Rail Transit Authority, has full control of the LRT lines