Solon seeks P31.57-B PUV 'rehab fund' to subsidize modernization

MANILA, Philippines — A progressive lawmaker is currently proposing P31.57 billion for the "centralized procurement" of Euro-5 engines to upgrade thousands of traditional jeepneys and other public utility vehicles — a move supported by transport group PISTON.

The proposal for a new program under the 2024 budget was sent to House Speaker Ferdinand Martin Romualdez last Wednesday by Rep. Arlene Brosas (Gabriela Women's Party), as the December 31 deadline for PUV consolidation sparks fears of an impending jeepney phase out.

"The amount of [P31,570,000,000] appropriated herein shall be used for the centralized procurement of Euro-5 engines for the upgrading of 63,140 traditional public utility jeepneys (PUJ), multicabs, and UV Express units under the First PHase of the PUV Rehabilitation Program at a subsidy of P500,000 per unit," said Brosas.

"In no case shall franchise consolidation or consolidation into cooperatives of PUV owners be made a requisite for the availment of the subsidy."

@GabrielaWomenPL Rep. @ArleneBrosas proposes a P31.57-B PUV rehab subsidy in the 2024 nat'l budget for the "centralized procurement" of Euro-5 engines.

This will upgrade 63,140 traditional jeepneys, etc. to help operators avoid the higher costs of modernization. | @PhilstarNews pic.twitter.com/h5QpvI2oEd

Transport groups earlier lamented the high costs of transitioning their vehicles to more "enviromentally friendly" engines, with modern minibuses or e-jeeps said to be costing around P2.8 million each unit.

The Department of Transportation (DOTr) earlier clarified that financial assistance for transport cooperatives are available on top of a government subsidy to upgrade their PUV fleet with low-carbon emission units.

DOTr made the statement while attempting to dispell "misconceptions" of a jeepney phase out, this even after Land Transportation Franchising and Regulatory Board chairperson Teofilo Guadiz III's acknowledged that it would be the "last stage" of the PUV modernization program.

"I hope the bicameral conference committee will seriously consider this proposal to enable thousands of PUV drivers and operators top comply with safety and environmental sustainability standards