Tuesday, September 16, 2025

‘Consolidation non-negotiable’

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The December 31 deadline for the consolidation of traditional jeepney operators and drivers into cooperatives as part of the Public Utility Vehicle Modernization Program (PUVMP) is non-negotiable, according to the Department of Transportation (DOTr).

BAUTISTA

The DOTr maintained  the consolidation of jeepney operators and drivers into cooperatives or corporations is an essential component of the PUVMP.

DOTr Secretary Jaime Bautista said in his meeting with the counsel of the Pinagkaisang Samahan ng mga Tsuper at Operators Nationwide “there were demands” including the extension of the validity of PUV franchises but that the Land Transportation Franchising and Regulatory Board (LTFRB) has set the guidelines for the franchise extension.

“We are ready to address all these, but one of the important issues and non-negotiable is the industry consolidation, because we need the players to consolidate into cooperatives or corporation,” Bautista said in an interview on the sidelines of Pilipinas Conference yesterday.

Bautista said PUV drivers and operators could show valid documents of the franchise’s transfer to avail of the fuel subsidy.

Bautista maintained  the DOTr has the support of various transport groups and that he  and LTFRB chairman Teofilo Guadiz III are open for dialogue with the transport groups that also include Manibela.

“But there must be serious and honest intentions,” added Bautista.

Jesus Ferdinand Ortega, Office of Transportation Cooperatives chairman, said in a statement 11 groups have expressed support for the PUVMP.

The transport groups also do not want to extend the deadline for the consolidation of franchises set by the DOTr so that implementation of the PUVMP can continue, Ortega added.

The CMTCC considers the deadline extension for the consolidation of franchises to transport cooperatives as “unfair” and “unjust” for the modernization of their PUV units.

Bautista earlier said the agency is open to explaining to other transport groups the benefits brought by the PUVMP.

He also stressed that there is no phaseout of the traditional jeepney and that the government offers subsidy so transport cooperatives can get modern jeeps.

According to DOTr and LTFRB data, more than 5,000 routes with 135,761 consolidated franchises have been approved and are under the operation of 1,838 cooperatives. – Myla Iglesias

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