The Department of Transportation (DOTr) on Monday said the Metro Rail Transit Line 3 (MRT-3) has re-filed its petition for a fare hike before the agency’s rail regulatory unit (RRU).
Transportation Undersecretary Cesar Chavez noted no fare adjustment had been approved for the MRT-3 in the last eight years.
It was recalled the MRT-3’s fare hike petition was deferred due to “infirmities in complying with the requirements and procedure.”
MRT 3 filed for an additional P2.29 boarding fare and P0.21 distance fare per kilometer to finance its operating expenses.
As of November 2022, the MRT3’s total expenses amounted to P8.96 billion but posted total revenue of only to P1.1 billion, resulting in a deficit of P7.8 billion or an P88.34 government subsidy for every passenger.
DOTr Secretary Jaime J. Bautista earlier approved a fare adjustment consisting of an additional P2.29 boarding fare and P0.21 distance fare per kilometer, from existing P11.00 boarding fare and P1.00 distance fare.
Chavez said the approval “is not only necessary, beneficial and practical for both the LRT operators and commuters, but also for the country as well.”
“Let’s make the rail system sustainable to build more and to serve more. Mananatiling bukas at handang makipag-dialogue ang DOTr sa mga mambabatas at ibat-ibang sektor para sa bagay na ito,” he said.
Chavez said the LRT-1 and LRT-2 deserve a modest fare increase after their petitions were denied the past eight years.
He said the actual rate for end-to-end travel at the LRT-2 from Antipolo to Recto costs P178 per passenger, but only P30 is being charged.
This means the government subsidizes LRT-2’s continued operations by P148 per passenger, Chavez said.
The same can be said of the actual cost of end-to-end train rides at the LRT-1, Chavez said, stressing that LRT-1’s operator Light Rail Manila Corporation (LRMC) has been asking for a fare increase since 2016.
“The LRT-1 operator deserves a modest fare increase now after they were denied of this in 2016, 2018, 2020 and 2022,” Chavez said.
“This approved fare increase is also on the right side of the future of rail system. The government has to honor its commitment with the private sector and sensitive to the needs of commuters and the long-term sustainability of the rail system,” the official added.