The Department of Transportation (DOTr) on Wednesday thumbed down the demand of several transport groups to terminate the government’s public utility vehicle (PUV) modernization program.
“There were demands and we are ready to address all these but one very important issue that is non-negotiable is the industry consolidation. Because we really need players to consolidate into cooperatives or corporations,” Transportation Secretary Jaime J. Bautista at the sideline of the Pilipinas Conference in Makati
Under the PUV modernization, drivers and operators were given until December 31 to form a cooperative or corporations that would allow them to avail of financial assistance and subsidy to upgrade their fleet with low-carbon emission, safe and efficient transport units.
Bautista particularly stressed the agency is amenable to the other demands of transport groups such as the issuance of five-year vehicle franchises.
According to him, other transport groups were supportive of the government’s PUV modernization program.
“We are used to the transport strike that Manibela is doing. We were talking (with Piston) yesterday,” he said of transport groups looking to gain more concession from the government.
Bautista emphasized the DOTr is “ready to talk to them anytime. Proper communication is important, but we must be serious and honest about our intentions.”
Bautista said DOTr and Land Transportation Franchising and Regulatory Board’s (LTFRB) lines are open for discussion with the transport groups to thresh out issues surrounding the transport modernization program.
“I still believe we can resolve the issues through honest communication. We have been fine tuning the program according to the voices of transport groups,” Bautista said.
“In the PUV Modernization Program, we ensure no one gets left behind,” he reiterated.
As of November 2023, over 5,000 routes with 135,761 consolidated franchises have been approved and operated by 1,838 cooperatives and consolidated companies.
