THE approval of fare adjustment for Light Rail Transit Line 1 (LRT-1) would help the private operator manage its operations and implement improvements for the rail line, according to the Management Association of the Philippines (MAP).
“The MAP stands for the sanctity of contract and the rule of law,” MAP said in a statement on Wednesday. “The agreed terms of the contract on the fare adjustment must be complied with by the government in order to protect the level of service required of the operator and prevent deterioration of service to the commuters.”
To recall, the Department of Transportation (DoTr) said the fare adjustment is necessary to extend the rail line to Cavite while also allowing the operator to implement the necessary upgrades for LRT-1.
“This rate increase is needed to not only ensure smooth and timely maintenance of LRT-1 but also the extension of the line all the way to Cavite under the present PPP (public-private partnership) contract,” DoTr said in a separate statement.
Starting April 2, the boarding fare at LRT-1 will be raised to P16.25 from P13.29, while the distance per kilometer fare will be increased to P1.47 from P1.21.
Based on the approved fare matrix, the maximum fare for a single-journey end-to-end trip will increase by P10 to P55. This will cover the trip from FPJ Station (formerly Roosevelt) in Quezon City to Baclaran Station in Pasay City, including the last station of the Cavite extension Phase 1.
Meanwhile, stored value card holders will pay P9 more for the end-to-end trip, bringing the fare to P52.
Light Rail Manila Corp. (LRMC), the private operator of LRT-1, has said that the fare adjustment is necessary to maintain the rail system and especially after it has made substantial operational improvements and system upgrades.
Under its concession agreement, the private operator may seek a fare adjustment once every two years.
LRMC is a joint venture of Ayala Corp., Metro Pacific Light Rail Corp. and Macquarie Infrastructure Holdings (Philippines) Pte. Ltd.
Metro Pacific Light Rail is a unit of Metro Pacific Investments Corp., which is one of three Philippine subsidiaries of Hong Kong’s First Pacific Co. Ltd., the others being PLDT Inc. and Philex Mining Corp. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose
