MANILA – The Department of Transportation (DoTr) on Wednesday stated that there was a “significant increase” in the number of public utility vehicle (PUV) owners that have applied for franchise consolidation, but the agency did not elaborate on the figures.
The rise in the number of applicants for franchise consolidation, according to the DoTr, can be attributed to the move by the Land Transportation Franchising and Regulatory Board (LTFRB) to accept applications filed on the December 31 deadline, even though pertinent fees were not settled.
It said applicants will have to settle the fees to be included in the final consolidation report.
“In the meantime, that the figures are being finalized, all unconsolidated PUVs may continue operating until Jan. 31, 2024. The LTFRB will issue an appropriate resolution to give effect to this instruction,” the DoTr added.
Under LTFRB Memorandum Circular (MC) 2023-051 signed on Dec. 14, 2023, all consolidated transport service entities and individual operators with filed applications for consolidation before the deadline are allowed to continue operating under their existing provisional authority (PA).
However, all PAs issued to individual operators that have not filed for consolidation are deemed “revoked” effective January 2024, and their previously authorized PUVs are now unregistered.
Special permits will be issued to allow PUVs to ply routes where there are no consolidated operators.
The 30-day period will allow the LTFRB to follow due process for those who did not comply with the December 31 consolidation deadline.
It added that the cancellation of the franchises of those who failed to consolidate must be properly documented.
Earlier, the LTFRB said more than 60 percent of PUVs have so far consolidated into cooperatives or corporations.
It said that 33.21 percent of traditional jeepney operators, or 13,893 units covering 317 routes in Metro Manila, have joined a cooperative under the government’s PUV modernization program.
On the other hand, 44.3 percent of operators of utility vans, or 3,359 units covering 81 routes in Metro Manila, have consolidated their respective franchises.
This was in contrast to claims made by transport groups that 73.5 percent of traditional jeepneys in Metro Manila did not file applications for consolidation, saying that the data issued by the government was inaccurate.
No transport harmony
As the DoTr and some groups in the transport continue to trade barbs over the PUVMP, Senate Minority Leader Aquilino Pimentel 3rd said there would be “no peace and harmony” in the transport sector if the PUV modernization program pushes through.
“If there is so-called industrial peace, there should also be peace and harmony in the transport sector — not only for the riding public but to [jeepney] operators and drivers as well,” he said.
Jeepney operators and drivers are required to form a cooperative and purchase modern jeepneys that resemble a minibus worth over P2 million per unit and reportedly imported from China.
Some jeepney drivers, especially those single operators with no financial means to join a jeepney cooperative, said they would not ply their routes if the government pushed through with the PUVMP.
Pimentel said some jeepney drivers might opt to leave the transport sector if they see that the PUVMP would affect their earnings and not be enough to raise their families.
“There might be a shortage [of PUVs], and the riding public might have problems commuting. We need to move around for our work, for our schooling and our recreation,” he said.
PUVMP unnecessary
Pressed whether there is a need for the PUVMP, Pimentel said, “Right now, no. We already have a regulation on [how to address] air pollution. They should execute that instead.”
“If I were in the executive branch and I saw that the harmony in the transport sector was affected because of the program, which they knew was not yet implementable, they should have taken the initiative to suspend the program and take advantage of the suspension to review the program,” he said.
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