DRIVING CHANGE; WV transport groups gird for full PUV modernization in 27 months

The Land Transportation Franchising and Regulatory Board says old or traditional jeepneys can continue operations as long as they are deemed road-worthy. But old units must be replaced with modernized ones within 27 months following the Dec. 31, 2023 consolidation deadline. AJ PALCULLO/PN
The Land Transportation Franchising and Regulatory Board says old or traditional jeepneys can continue operations as long as they are deemed road-worthy. But old units must be replaced with modernized ones within 27 months following the Dec. 31, 2023 consolidation deadline. AJ PALCULLO/PN

ILOILO City – Transport cooperatives and corporations in Region 6 are gearing up for a significant challenge: to modernize all traditional jeepneys within a 27-month timeframe.

Achieving this forms a critical part of the government’s Public Utility Vehicle Modernization Program (PUVMP), following the consolidation of individual jepeney operators into larger transport entities.

The Land Transportation Franchising and Regulatory Board (LTFRB) clarified that operators currently using old or traditional jeepneys can continue operations as long as their vehicles are deemed road-worthy.

However, it emphasized that these old units must be replaced with modernized ones within 27 months following the Dec. 31, 2023 consolidation deadline.

Raymundo Parcon, president of the Western Visayas Transport Cooperative (WVTC), is confident in meeting this target.

At present, 95 out of 553 units awarded by the LTFRB to the WVTC are operating as modernized jeepneys. Parcon expects an additional 95 modernized units by the end of March 2024.

The transition involves significant financial considerations. For instance, each modernized unit costs approximately P2.450 million, sourced from a motor supplier in Pampanga.

The Land Bank of the Philippines is closely monitoring the cooperatives’ and corporations’ operations before deciding on substantial loans to fund these upgrades.

Rizal Alido, president of the Iloilo City Alliance of Operators and Drivers Transport Cooperative (ICAODTC), also believes the 27-month period is sufficient for the modernization process.

With 28 modernized units already operational out of more than 280 awarded by the LTFRB to ICAODTC, Alido anticipates an improvement in income sources.

This expectation is particularly relevant since the city government’s enhanced Local Public Transport Route Plan (LPTRP) will soon prohibit unconsolidated traditional jeepneys from operating.

LTFRB has set specific milestones for cooperatives: 25% of total units must be modernized within six months, 50% within 15 months, and 100% by the end of the 27-month period.

The Western Visayas Alliance of Transport Cooperatives and Corporations, Inc. (WVATCCI), led by Alido as president, reported that out of 1,782 modernized jeepney units authorized by the LTFRB, over 500 are already in operation.

Members of the WVATCCI include various transport cooperatives and corporations throughout Iloilo City and Province:

* Molo Transport Service Cooperative

* Santa Barbara – New Lucena Transport Service Cooperative

* Aerostar Transport Cooperative

* Iloilo Superman Owners and Drivers Transport Cooperative

* Iloilo City Alliance Operators and Drivers Transport Cooperative

* JJL Transport Corporation

* Pavia Iloilo Jeepney Owners and Drivers Transport Cooperative

* Joroshley Transport Services Incorporated

* Western Visayas Transport Cooperative

* Leon Transport Service Cooperative

* Calumpang Iloilo Service Transport Cooperative

Initiated in 2017, this ambitious modernization project aims to replace traditional jeepneys with vehicles featuring at least Euro 4-compliant engines to reduce pollution and enhance roadworthiness, as per the standards of the Land Transportation Office.

The consolidation of individual PUV franchises into larger entities is intended to facilitate the acquisition of these modernized units, though the cost per unit exceeds P2 million./PN

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