Makabayan solons want PUV modernization deadline scrapped

The Makabayan lawmakers on Thursday filed House Resolution 1506 calling on the Land Transportation Franchising and Regulatory Board (LTFRB) to junk its December 31, 2023 deadline for public utility vehicles (PUV) to enlist themselves under a modernization program, saying it will ransack the livelihood of drivers and operators.

“Given the economic issues that the franchise consolidation is causing amongst the PUV sector, it is only prudent to remove the deadline that the Land Transportation Franchising and Regulatory Board has set on December 31, 2023, and revoke the standing Omnibus Franchising Guidelines, also known as Department Order 2017-011,” the resolution said.

It was filed by House Deputy Minority Leader France Castro of ACT Teachers party-list, House Assistant Minority Leader Arlene Brosas of Gabriela party-list and Kabataan party-list lawmaker Raoul Manuel.

Department Order 2017-011 or the Omnibus Franchising Guidelines contains the guidelines for implementation of the PUV modernization program.

“It is the charge of the state to protect the interests of the Filipino people, and to ensure that all people have equal standing in the eyes of the law. In this vein, the state should also avoid the implementation of policy which affects already oppressed sectors adversely and stands to push for the gain of a small section of society,” the resolution read.

“The current PUV modernization program has been decried by organizations of small and single vehicle operators as a phaseout that is taking away their livelihoods and giving it to big corporations and cooperatives by implementing the *One Franchise, One Route" Policy, which allows only one franchise, held by one entity, be it a corporation or a cooperative, to operate on a given route," it added.

The said policy, the lawmakers said, requires steep requirements to qualify to run PUV units on a route, like a fleet of modernized jeepneys or terminals with modern amenities, and such requirements are available only to those with huge capital who can easily acquire the needed facilities without going into financial ruin.

“This [situation] effectively boxes out those with a small capital base, like the small and single-vehicle operators, from operating their PUV units anywhere,” the resolution said.

Manuel, for his part, said even those who already complied with the consolidation scheme have yet to experience improved lives.

“The Pasig-Mandaluyong-Quiapo Operators and Drivers Alliance (Pamaqoda) Transport Service Cooperative is not generating income and its drivers have not received dividends in the last three years after franchise consolidation,” Manuel said in a separate statement.

The PUV modernization program, which started in 2017, aims to replace jeepneys with vehicles that have at least a Euro 4-compliant engine to lessen pollution and replace PUVs that are not road -worthy by Land Transportation Office standards. 

Each unit, however, would cost over P2 million, an amount that even the LandBank and DBP said is too expensive for PUV drivers and operators.  

The LTFRB also said last month that PUV drivers and operators who won’t meet the December 31 won’t immediately lose their franchise to operate but such grace period will be limited. —LDF, GMA Integrated News