LTFRB grants 'provisional authority' for PUV operators to continue operations

MANILA, Philippines — Public utility vehicle (PUV) operators who filed for consolidation on or before December 31 can continue to operate under a ”provisional authority” despite not being completely consolidated.

In a memorandum released by the LTFRB on Thursday, individual operators who applied for consolidation won't face franchise revocation, even if they haven't completed the process to merge into cooperatives or corporations.

LTFRB Chairman Teofilo Guadiz III said this in a November press briefing, granting operators an extension to finalize consolidation. 

The agency said that their “existing provisional authority” would remain valid until December 31, 2024, or until the issuance of a Certificate of Public Convenience.

However, operators who missed the consolidation deadline will face franchise revocation starting Jan. 1, 2024. The memorandum indicated that routes without consolidated Transport Service Entities (TSEs) would have individual operators' provisional authorities revoked, prompting compliance with the Public Service Act.

“In all routes WITHOUT CONSOLIDATED TSES, all Provisional Authorities (PA) issued to INDIVIDUAL OPERATORS are DEEMED REVOKED effective 01 January 2024, and the units authorized therein shall not be confirmed for purposes of registration as public utility vehicles,” the memorandum read.

“Accordingly, a Show Cause Order shall be issued in compliance with the provisions of the Public Service Act, as amended. To ensure an adequate supply of public transport on these routes, separate guidelines shall be issued by the Board,” it added.

To address public transport adequacy in affected routes, the LTFRB will issue separate guidelines.

Transport groups argue that the consolidation deadline threatens the livelihoods of jeepney and UV Express operators and drivers.

MANIBELA and Piston transport groups extended their protest via a transport strike from December 18 to December 29 against the PUV consolidation and modernization program.

Today is the final day of Piston’s transport strike in protest against the PUV consolidation and the PUV modernization program.

Citing data from the Department of Transportation, IBON Foundation said that