“As to climate change adaptation and mitigation, our PUV modernization program aims to drastically reduce carbon emissions of traditional jeepneys by shifting to environment friendly PUVs, including electric vehicles”
The Marcos administration is determined to implement the ambitious Public Utility Vehicles Modernization Program (PUVMP) as it gears up towards increasing the PUV consolidation rate nationwide from 70 percent to 85 percent by the end of the extension period in April.
The PUVMP has been the government’s priority project since 2017; but the deadline for industry consolidation has been extended eight times to allow all PUVs to join the program.
As of the end of December 2023, the PUV consolidation rate reached over 70 percent, but given the strong clamor, President Ferdinand Marcos Jr., reopened anew the application for industry consolidation until April 30, following the recommendation of the Department of Transportation (DOTr).
DOTr Secretary Jaime Bautista is encouraging all unconsolidated PUVs nationwide to file for consolidation as this will be the last and final extension given by the government.
Bautista said that after consolidation, the focus will be on route rationalization. The cooperatives would then gradually start the fleet modernization which will take about five years.
The industry consolidation involves the formation of transport cooperatives or other legal entities which will be entitled to benefits such as government subsidies and access to credit facilities, among others to aid in modernizing their fleets and running the modernized unit.
The route rationalization aims to provide rationalized and efficiently planned routes that would be responsive to the demands of the passenger nationwide. It is a comprehensive and strategic assessment of the current public transport based on passenger demand, location of major movement, and future travel demand patterns.
Under the fleet modernization, the cooperatives will transition to modern PUVs which are approved and accredited by the Department of Trade and Industry.
As of early January this year, DOTr data showed 54 models from local and foreign manufacturers to choose from.
Of the total number of models, 7 units are for class 1; 24 units for class 2; 22 units for class 4 and one unit model was approved.
The average price for class 1 vehicles ranges from P1.1 million to P1.58 million; for class 2, the price ranges from P1.77 million to P2.67 million and for class 3, the price ranges from P1.99 million to P2.86 million.
Bautista assured the iconic jeepney will not be phased out as some local manufacturers expressed intention to make an iconic modern jeepney: Philippines Blackhawk Auto Corp. for class 2 and class 3 and Santa Rosa Motor Works Inc. for class 2.
With the PUVMP, Bautista said it will be easier for the operators to have access to financing through the consolidated entity or corporation. The purchasing power and the negotiating power will be better in terms of the acquisition of the new vehicles.
“As to climate change adaptation and mitigation, our PUV modernization program aims to drastically reduce carbon emissions of traditional jeepneys by shifting to environment-friendly PUVs, including electric vehicles,” Bautista said.
Among the approved manufacturers of modern PUVs are Assemblepoint Philippines Inc.,
Autokid Subic Trading Corp., China Six Eleven International Sales; Columbian Autocar Corp., Durabuilt Motors Inc., Foton Motors Philippines Inc. Global Autodistribution Inc., Global Maxx Manufacturing Corp., Hino Motors Philippines Corp., Isuzu Philippines Corp., JAC Automobile International Philippines Inc. Lionsjade Corp. and NZH Truck Sales and Services Corp.
