THE Land Transportation Franchising and Regulatory Board (LTFRB) said on Tuesday it will start the distribution of the fuel subsidy to operators of Public Utility Vehicles (PUVs) today, Wednesday.
LTFRB chairperson Atty. Teofilo Guadiz III said the fuel subsidy, which ranges between P1,000 and P10,000, would help drivers and operators recoup from the “continuing price hikes of petroleum products.”
Under Memorandum Circular No. 2023-038, target beneficiaries of the subsidy are Public Utility Jeepneys (PUJs), Filcabs, UV Express (UVE), Minibuses, Public Utility Buses (PUBs), Shuttle Services, Taxis, Tourist Transport Services, School Transport Services, Transportation Network Vehicle Services, Delivery Services, and Tricycles.
Operators of modern PUJs and UVEs who are qualified under the program will receive P10,000 as subsidy, while operators of other PUVs, whether modern or not, will each receive a P6,500 subsidy.
Meanwhile, qualified delivery service riders will receive P1,200 in subsidy, while tricycle drivers will get P1,000 in subsidy, whose distribution will be under the supervision of the Department of Interior and Local Government (DILG) and supported by the Department of Information and Communications Technology (DICT) and the Department of Trade and Industry (DTI).
Guadiz said no PUV denomination will be “favored in terms of subsidy allocation because all operators of PUVs, whether modern or not, will receive the subsidy although amounts will vary.”
“The amount of subsidy for each beneficiary is dependent on how much petroleum product they consume for their vehicles. I would like to make it clear that everyone will benefit from this exercise—modern or not; consolidated or not,” Guadiz said.
Guadiz estimates around 1.36 million operators will receive the subsidy. Of this number, 280,000 PUV units will benefit from the program, 930,000 for tricycles, and 150,000 for delivery service.
“This subsidy is for all the operators that are struggling because of the continued increase of fuel prices,” he said.
According to the Department of Energy (DOE), oil companies implemented an increase of P0.20/liter for gasoline, P0.40/liter for diesel, and P0.20/liter for kerosene on Tuesday.
These price adjustments resulted in a year-to-date net increase of P15.50/liter for gasoline, P11.10/liter diesel, and P7.94/liter for kerosene.
Guadiz explained that the fuel subsidy would be distributed through digital banking via e-wallet accounts, bank accounts, and fuel subsidy cards that were already registered as beneficiaries under the Fuel Subsidy Program.
To become qualified beneficiaries under the program, the PUV must have a valid franchise and must be currently registered with the LTFRB.