Govt. pulls fuel subsidies, unions warn of freight and fare hikes

Santo Domingo.- The government has yet to allocatelast month´s fuel subsidy to the associations which transport passengers and freight, without any explanation, prompting warningsfrom sector representatives that fares and rates could rise.

The warnings came just hours after the headof the powerful bus owners grouped in FENATRANO said the National BusinessCouncil (CONEP) is "conspiring to break the order and social peace"in the country, in reference to latter´s seeking a conviction of the transportsector on alleged monopoly.

The bus owners associations main leaders confirmedto outlet eldia.com.do that since September 7 the Industry and Commerce Ministryhas withheld the allocation of the tax exemptions on 3.8 million gallons permonth.

¨We have yet to receive any explanation thusfar and second-class officials remained entertaining us without givinginformation on the situation," said Antonio Marte, head of the transportunion Conatra.

He said Industry and Commerce minister TemistoclesMontas "hasn’t shown his face" to offer an official explanation and LandTransport Office (OTTT) director Hector Mojica doesn’t take his calls.

"So far we have not officially informedabout the suspension of the subsidy, but since last month failed to deliver theexonerations without giving any explanation," Marte said.

He said the situation has forced transportersto raise passengers fares and cargo rates.

"Unfortunately, the poor will pay the consequences,because we can’t, because we transport 96% of the passengers in the country,the remaining 4% is done by the OMSA (public bus system)."