LTFRB: PUV modernization to continue after June 2020

Metro Manila (CNN Philippines, September 30) — Transport officials clarified on Monday that the government’s initiative to replace old public utility vehicles (PUVs) with modern units may extend after the supposed June 2020 deadline.

Land Transportation Franchising and Regulatory Board (LTFRB) Chairman Martin Delgra said the transition phase will end by June 2020, but they will still implement the PUV modernization program afterwards.

“That is the end of the transition period but it does not mean that the program will end on June 2020. Ang sinasabi namin dito, kailangan natin magpatuloy [What we are saying is we need to continue],” Delgra said in a press conference.

This means the LTFRB does not expect that all PUVs will be modernized by that time. As of recent data, there have been 18,000 units that have complied with the program since it was signed in 2017. The government is looking to modernize around 170,000 units. 

“Kung tutuusin [If anything] it’s everyone’s relief that you will have a modern transport system by June 2020. As I’ve said kung mangyayari ‘yan [if we achieve that], well and good, kung hindi, tuloy pa rin hanggang mamodernize ‘yung transport system [if not we will continue until the transport system is modernized],” he clarified.

He said the program has always been a gradual effort. He mentioned a transport cooperative in Taguig that started replacing ten old units first, before modernizing the rest of their other units.

“You don’t phase out 279 units kaagad-agad, otherwise, hindi sila ang magagalit sa gobyerno, ang magagalit ‘yung mga pasahero kasi wala nang mga sasakyan,” he shared.

[Translation: You don’t phase out 279 units at once, otherwise, they won’t be the ones who are mad at the government. It's the commuters who will get mad because there will be no more vehicles.]

Delgra encouraged PUV unit owners who want to proceed gradually to consolidate franchises first, so that their transition to modernization will go smoothly.

“You need to consolidate (your) franchise to run a particular route so that you’ll be able to run it responsive to public need and on their part it becomes more cost-effective,” he said.

It is cost-effective since banks are more inclined to give loans to successful cooperatives than to individual unit owners, Delgra explained.

Transport groups staged a nationwide strike in protest of the high cost of the PUV modernization program. The Stop and Go Coalition said a modern jeep is worth ₱2 million, while government data showed that the price ranges from ₱1.2 million to ₱1.8 million.

CNN Philippines Correspondent Rex Remitio contributed to this report.