The Department of Transportation (DOTr) will roll out a P1 billion service contracting program to support public utility vehicle (PUV) drivers and operators starting April 15, 2026. The program will run for two weeks.
Transportation Secretary Giovanni Lopez said the funding comes from the agency’s 2026 budget. The DOTr is also seeking an additional P5 billion to extend the program until July.
Of the P1 billion, P800 million is allocated for road transport, while P200 million is set aside for maritime services. The program is expected to benefit 1,000 transport operators and cover around 50,000 vehicles nationwide, including jeepneys, UV Express vans, and buses. These vehicles serve about 15 million passengers daily.
Bus drivers and operators will receive P100 per kilometer. Along the EDSA Busway, 50 operators and 500 buses will benefit, serving around 300,000 passengers each day.
For jeepneys, modern units will get P40 per kilometer, while traditional units will receive P30 per kilometer.
The program will cover 823 routes nationwide, with 545 routes located in Metro Manila and nearby provinces such as Cavite, Laguna, and Rizal.
To ensure transparency, the DOTr will use GPS tracking to monitor trips. GPS services will be provided at a discounted rate of P500 per month, which the government will shoulder. While manual monitoring is allowed, Lopez said GPS use is encouraged to speed up payments, which are targeted to be released within three to five days weekly.
Commuters will also benefit from an additional 20 percent fare discount, on top of the existing discount for students, senior citizens, and persons with disabilities. The updated fare matrix will be released on April 11, 2026.
