Ahead of the deadline for Public Utility Vehicle (PUV) consolidation, the Department of Transportation (DOTr) reminded operators to join co-operatives, which have been “successful” in their operations as profitability rests on the efficiency of a co-operative.
“‘Yung pagkalugi or pagkita is depende sa management. Dapat ‘yung mga operators, they know how to manage,” Department of Transportation Secretary Jaime J. Bautista told reporters on the sidelines of the Philippine Chamber of Commerce and Industry’s (PCCI) 1st General Membership Meeting Thursday.
“Bakit, marami namang profitable yung operations. Bakit may nalulugi? Siguro may pagkukulang yung mga nalulugi dahil it’s a business venture as far as operators are concerned,” Bautista added.
The DOTr chief underscored the importance of consolidation, saying, “If you consolidate, you will have more efficient operations, you will have fleet management, tamang dispatch.”
Bautista emphasized, “Siguro dapat makinig din tayo doon sa mga kumikita kasi siguro ‘yung mga nalulugi, hindi nila napapatakbo ng maayos ‘yung kanilang organisasyon.”
Bautista said in his speech during the said forum, “We have bent backwards, accommodating multiple demands of program oppositors.”
Despite this, he said they are “pushing for full implementation [of the PUV Modernization Program] because “we strongly believe that we will transform the country’s public transport.”
The deadline for consolidation had been extended by three months or until April 30.
“With this extension, we target a nationwide consolidation rate of at least 80 percent. Although we are good to go even at 65 percent.”
Bautista earlier said, “76 percent is more than enough to implement the program,” adding that “at 85 percent, I’m very sure this will be a very successful project.”
The Transportation chief explained the concept of consolidation, “Consolidation is when you become a member of the co-operative. You will own shares in the cooperative or corporation, ‘yun ang asset ng mga operators na magjo-join. It’s not another business.”
Meanwhile, he also responded to the issue of importing units, pointing out that the government is not requiring operators to import their units.
“Nasa kanila ‘yung decision where to buy, hindi kami nag-eendorse ng any supplier or any company where to buy, may mga list ng available supply…it’s really up to them,” Bautista said.
He advised the officers and managers of co-operatives to pick the cheapest option in the market as long as it adheres to Philippine National Standards.
“Eto ay mayroong engine na Euro 4, Euro 5, Euro 6 or electric-powered. Pero yung sinasabi na mag import ka, hindi nire-require ng gobyerno yun,” Bautista explained
The PUV Modernization Program (PUVMP), initiated by the government in 2017, aims to overhaul the nation’s public transportation system, particularly focusing on jeepneys, the backbone of public transport in the Philippines.
The program aims to modernize and unify the fragmented public utility vehicle industry, emphasizing the replacement of older vehicles with those meeting Euro 4 emissions standards.
The program’s objectives include changing the franchising system, introducing new routes, and providing education to drivers.
Commuter groups and networks and driver organizations have called on the government to delay the implementation of the program, as this will result in a significant loss in transport supply, which they argue has already been insufficient to meet the current demand. (Full story here: https://businessmirror.com.ph/2024/01/25/dotr-chief-says-april-30-2024-will-be-last-extension-for-puv-consolidation/)
Image credits: Roy Domingo