Drivers, consumers in Mindanao enraged over high PRICES

Transport groups and sectors from the urban poor and professionals from various cities in Mindanao will join Monday’s nationwide transport strike in protest of the increase in rice and petroleum prices.

The groups led by local chapters of Piston and Bayan are projecting 90 to 95 percent paralysis of transportation in Davao City, Cagayan de Oro, General Santos, Butuan, and Bayugan.

Drivers and consumers blame the government for the present double whammy of increases, saying President Arroyo favors oil cartel and big business while failing to augment wages and ensure food security for the people.

The groups said the repeal of the Oil Deregulation Law would be an immediate remedy to the oil price hike. The groups also call for the scrapping of the 12% Reformed Value Added Tax (Rvat) as this would reduce five pesos from the prices of petroleum.

They also call for the implementation of the 125 peso across the board wage increase. They also support legislation for the creation of a body to monitor and regulate petroleum prices and for government to provide an oil price buffer fund.

Jeepney and tricycle drivers say that the Oil Deregulation Law has allowed unhampered increase in the prices of gasoline, kerosene and liquefied petroleum gas (LPG) and resulted to ever-increasing losses in income.

Piston Caraga said that price of gasoline, diesel and LPG rose to a staggering 357%, 434% and 356% since the implementation of the law in 1996.

Last year saw the prices of gasoline increase 18 times while LPG increased 13 times. This year, oil companies have set to add 1 peso per week starting May to July.

The increases have cut into the drivers’ daily income. According to Transmission Southern Mindanao, drivers lose more than 200 pesos a day from their income due to the increase. Tricycle drivers in General Santos lose nearly half of their income as they have to shell out 300 pesos for gasoline per day, in which they end up taking home 80 to 100 pesos for their income.

Bayan Southern Mindanao blames the government’s entry into the World Trade Organization that resulted to rice importation and increases in rice prices. Since its approval in 1995, the price of rice increased its original price of P 8 per kilo to a staggering P33 to P35 per kilo.