Latest news with #PUVModernizationProgram
GMA Network
24-06-2025
- Automotive
- GMA Network
DOTr: Franchise consolidation not required in receiving fuel subsidy
Public utility vehicle (PUV) operators and drivers who have not yet joined or formed a cooperative through franchise consolidation under the PUV Modernization Program are entitled to receive fuel subsidy from the government to ease their burden amid the spike in fuel prices due to the Iran-Israel conflict in the Middle East, the Department of Transportation (DOTr) said Tuesday. 'Hindi kailangang consolidated na ang mga driver o operator para makatanggap ng fuel subsidy. Gusto ng pamahalaang maging inklusibo ang programa lalo't buong sektor ay mararamdaman ang epekto ng pagtaas ng krudo —consolidated man o hindi,' the DOTr said in a statement. (It is not a prerequisite for a driver or operator to be consolidated to receive fuel subsidy. The government wants to make the program inclusive since the entire sector will bear the brunt of the hike in crude prices —consolidated or not.) Fuel subsidy The DOTr earlier said it is looking to immediately release the fuel subsidy for operators and drivers of public utility vehicles when a sizeable oil price hike takes effect in the country. The fuel subsidy will be released through the Land Transportation Franchising and Regulatory Board (LTFRB), with guidelines now being finalized. Under the 2025 General Appropriations Act, the P2.5 billion budget allocated for the public transport sector's fuel subsidy will be released once the average price of crude oil breaches the $80 per barrel threshold. As of June 23, the average price of Dubai crude oil stands at $75.16 per barrel, according to the Department of Energy (DOE). The DOTr said, along with the LTFRB, it is ready to distribute the fuel subsidy to PUV drivers and operators in accordance with the directive of President Ferdinand Marcos Jr. to immediately ease the burden of sectors to be affected by sudden spikes in fuel prices. Under the previous 'Pantawid Pasada' program, operators and drivers of Modern Public Utility Jeepney (MPUJ) and Modern UV Express (MUVE) received P10,500, while traditional PUJs, UV Express, Minibus, Public Utility Bus received P5,000. Those in the Transportation Network Vehicle Service (TNVS), Taxi, Tourist Transport Services, Shuttle Services, School Transport were entitled to a P4,500 fuel subsidy. Delivery services riders and tricycle drivers were granted P2,500 and P1,100 subsidies, respectively. Marcos, last Wednesday, said fuel subsidies would be given as oil prices are expected to rise given the heightened tensions between Israel and Iran. 'Kasalukuyang nakikipag-ugnayan ang DOTr at LTFRB sa iban ahensiya ng pamahalaan gaya ng Department of Energy (DOE), Department of Interior and Local Government (DILG), Department of Information and Communications Technology (DICT), at Landbank of the Philippines (LBP) upang mapabilis ang pamamahagi ng ayuda para sa mga driver at operator,' the Transportation Department said. (The DOTr and LTFRB are currently in coordination with other agencies such as the Department of Energy, Department of Interior and Local Government (DILG), Department of Information and Communications Technology (DICT), at Landbank of the Philippines (LBP) to fast track the disbursement of the fuel subsidy for drivers and operators.) 'Inaasahang ilalabas ang subsidiya sa lalong madaling panahon ayon sa utos ng Pangulo na madaliin ang distribution nito,' it said. (The fuel subsidy will be released as soon as possible pursuant to the President's order to fast track its disbursement.) To ease the burden of motorists, fuel retailers have agreed to stagger the big-time hike in petroleum prices. Major petroleum firms hiked the prices per liter of gasoline by P1.75, diesel by P2.60, and kerosene by P2.40, effective 6 a.m. on Tuesday, June 24, 2025. The same price hikes will be implemented at 6 a.m. on Thursday, June 26, reflecting the second tranche of adjustments. Apart from the P2.5 billion fuel subsidy for the public transport sector, the 2025 national budget also allocated P150 million in fuel subsidy for farm and fisheries sectors at P75 million each once the crude oil price breaches the threshold. — RSJ, GMA Inegrated News
GMA Network
04-06-2025
- Business
- GMA Network
Marcos agreed PUV modernization not viable at present — Palace
President Ferdinand ''Bongbong'' Marcos Jr. agreed that the Public Transport Modernization Program (PTMP) is not viable as most jeepney drivers have to borrow money to acquire a new unit. On Wednesday, Palace Press Officer Undersecretary Atty. Claire Castro was asked about the President's sentiment on the remarks made by Transportation Secretary Vince Dizon that the modernization program is not feasible at the moment. ''Nong binanggit po ito ni Secretary Dizon kay Pangulo, positibo naman po ang response ng ating Pangulo at ayaw naman din po niyang pahirapan ang mga operators at mga jeepney drivers natin kung ipu-push po ito tapos parang pilit,'' Castro said at a press briefing. (When Secretary Dizon mentioned this to the President, his response was positive and he doesn't want operators and jeepney drivers to feel the burden if the government will push for this at this time.) ''So, dapat po talagang aralin para po lahat po naman ay maging maayos ang takbo at pag-implement po ng programa na ito,'' she added. (There's really a need to study this so that the implementation of the program will be smooth.) Dizon earlier said that a modernized jeepney unit costs roughly between P2.5 million to P2.8 million, of which 15% to be subsidized by the government. Drivers will shoulder an estimated P40,000 He said that transport cooperatives and operators were given "limited" loaning options with the PTMP. The DOTr has also come up with several interventions in a bid to address the problem, according to Dizon. Initiated in 2017, the PTMP—formerly the PUV Modernization Program—seeks to replace old jeepneys with Euro 4-compliant models to reduce pollution and improve road safety. However, the cost of a modern jeepney exceeds P2 million, a price deemed too steep even by government financial institutions. The program mandated the consolidation of individual PUV franchises into cooperatives or corporations. Unconsolidated units were classified as ''colorum'' and were subject to penalties. — RSJ, GMA Integrated News
