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| Bye taditional Philippine Jeepney. In 3 years, the jeepney will be phased out. Image credit: Pixabay |
Last June the Department of Transportation and the Land Transportation Franchise and Regulatory Board (LTFRB) formally launched the Public Utility Vehicles (PUV) modernization program which orders the replacement of jeepneys aged 15 years or older. According to the chairman of the LTFRB, there are 204,000 jeepneys nationwide and an estimate of 180,000 jeepneys are 15 years old or older.
Opposing this is transport and labor groups saying that this program is anti-poor given that the replacements are going to cost jeepney owners or operators over P1 million each.
The Public Utility Vehicle Modernization Program- What you need to know
Is it really modernization or a phaseout?
The modernization of the jeepney is a phaseout- that is, in sheep's clothing.
Unfortunately, the LTFRB is not allowing replacement only of engines and chassis, the parts of the jeepney that the LTFRB uses as the basis of the age of the vehicle. Some groups have suggested that instead of replacement that they can repair or rehabilitate including building their own jeepneys which were not approved by the LTFRB since that process does not entail a holistic approach.
According to LTFRB spokesperson Lizada, "The jeepney as a denomination stays. What the government is fixing right now is what kind of jeepney should be used that is compliant with the Clean Air Act and can give the usual convenience and safety for the riding public.
What happens to the old jeepneys?
The government will buy each of them for P30,000 (salvage fee) and will later be scrapped but, according to LTFRB chairman Delgra, they are still thinking of ways to use the parts.
How many jeepneys will be released?
The government plans to release around 200,000-250,000 jeepneys.
What's the government's timeline for this?
According to the LTFRB, they will follow a 3-year transition period which they may extend as they see fit. This period will also serve as the time for franchisers to form cooperatives or corporations.
What kind of jeepneys will be used?
There will be 2 kinds of jeepneys: E-jeepneys or the Euro-4 compliant ones.
How much will the new jeepneys cost?
Around P1.2 million to P1.6 million.
How much will the government spend for the entire program?
More than P16B. The P16B alone will be used for the 5% subsidy that the government will give each driver.
How will the jeepney drivers pay for the jeepneys?
Once the government pays the 5% subsidy, then the remaining amount will be paid by the jeepney driver within a 7-year loan at about 5-6% interest per annum.
How much will the drivers pay?
Generally, they will need to pay Land Bank P800/day for 7 years for a vehicle priced at P1.6M. Thus, jeepney operators will be increasing the amount of the "boundary" the jeepney drivers will have to pay them (operator) to use their (operator) jeepneys. This is the main reason why there is great opposition to the program.
What will be some of the conditions set by the government for jeepney drivers?
Initially, the jeepney drivers are mandated to form a cooperative to be part of the program. According to the Department of Finance Undersecretary Chua, the loan will not be accessible to all. The government will prioritize drivers who operate under government-recognized cooperatives formed by the virtue of the revised Omnibus Franchising Guidelines under the program. This is because drivers who are part of cooperatives can easily be reached if ever they are having trouble with payment. It also assures the government they are paid back.
The government is aiming to standardize salary and increase fares up to P20.
What are the jeepneys features of the modernization program?
The new jeepneys design is different from the conventional jeepney.
-jeepney standard doors will be on the side rather than the rear.
-the shape will be longer similar to a van for more passenger accommodation.
-will be equipped with power steering, handbrake, and for some units- air-conditioning.
-automated payment through card
Important Points about the PUV modernization program:
1. The PUV modernization program aims to "modernize" every public utility vehicle- buses and vans, not just the jeepney.
2. Commuting will be guaranteed safer since all new PUVs will be equipped with CCTV cameras and GPRS to monitor both driver and commuter.
3. Easier access for people who may have limited mobility or are disabled.
4. It is aimed to give monthly salaries and benefits to PUV drivers and to reduce work hours. Jeepney drivers are known to work long hours to meet the "boundary" and quota to provide for their families.
5.The modernization program seeks to replace all PUVs that are 15 years old or older with PUVs that are designed to have low-carbon and low-emission technology.
-The Pinoy Inquisitor will search again
Credit to sources:
Talabong, Rambo "Is the PUV Modernization Program anti-poor?" , www.rappler.com
Kyra "Things We Need to Know About the PUV Modernization Program", www.aboutcagayandeoro.com
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