Shipping operators may raise fares by up to 30 percent – MARINA

Metro Manila, Philippines – The Maritime Industry Authority (MARINA) on Monday, March 30, announced new guidelines for stakeholders on price adjustments to reflect higher fuel costs.

It said shipping operators should observe the weekly required rate adjustment (RRA) that will allow a maximum increase of up to 30 percent from the base rate as of March 27.

The RRA includes the initial 20 percent ceiling set by the regulator on March 6.

MARINA said the transport of agricultural products and basic commodities will get priority and subject to the 20 percent limit for rate adjustment. 

The advisory stated that operators must inform the regulator and commuters of a rate adjustment at least three days before implementation.

Lower fares are also required if global fuel prices decline, and the advisory to be published as well at least three days before implementation.

MARINA assured the public that it will conduct regular monitoring of freight and passenger rates.

“Failure to adhere to these guidelines or any instance of overcharging beyond the RRA shall be subject to administrative fines and sanctions,” it said.

Shipping companies

Meanwhile, a number of ship operators had earlier announced price increases including those providing services in Southern Luzon.

FastCat posted an updated fare matrix on March 6.

Starlite Ferries implemented a 25% fare increase on March 10.

Montenegro Shipping Lines raised charges by 10 percent to 20 percent on March 23.

In a chance interview, Acting Transportation Secretary Giovanni Lopez said the shipping industry is deregulated and fares are market-driven.

President Ferdinand Marcos Jr. earlier hit the brakes on fare increase in public utility vehicles, saying it’s not yet time to raise fees.

Lopez said show cause orders had been released against operators who previously hiked fares, prior to Marina’s new ceiling.

“Noong pina-show cause ko po sila, nakikipagpulong po sila last week sa atin…I explained to them na there’s a need for us to regulate it, kahit deregulated if public interest is threatened,” Lopez said.

[Translation: When I issued them a show cause, they met with us last week. I explained to them that there’s a need for us to regulate it—even if it’s deregulated—if public interest is threatened.]

NewsWatch Plus correspondent Lance Mejico contributed to this report.