Press Release
October 8, 2018

GOV'T NOT READY TO INSURE FAIR, EFFECTIVE MODERNIZATION--POE

The Senate committee on public services chaired by Sen. Grace Poe tackling the planned modernization of public utility vehicles (PUVs) is inclined to recommend a five-year transition period for the modernization to fully take effect, owing to the lack of consultations and the seeming premature execution of the program in the light of soaring prices of fuel and basic goods.

Poe said that while she fully agrees with modernizing public transportation including the most iconic jeepney, once dubbed the King of the Road, she warned the policies set forth in the modernization could result in massive loss of jobs and may only unduly favor big corporations.

"Ang LTFRB [Land Transportation Franchising and Regulatory Board] ay hindi nagbibigay ng pagkakataon para dito sa mga drivers natin na marinig, wala silang konsultasyon. Basta labas ng labas ng memo circular na hindi pa naman sila handa," Poe told reporters on the sidelines of the hearing, referring to several issuances by the transport regulator that sets a March 2019 deadline for jeepney operators to form a cooperative or a corporation to secure bank loans.

Transport leaders representing jeepney drivers and operators said there were no inclusive consultations on the modernization and they warned that older jeepneys--although emission-compliant and roadworthy--could be phased out. They said thousand of small-time jeepney operators may lose their livelihood and may be left without something to fend for their families.

In addition, Poe's panel was told that the LTFRB opened new or "developmental" jeepney routes without holding a public hearing and without the knowledge of the transport stakeholders.

"Ang malinaw, ang gobyerno ay hindi pa handa na i-phaseout ang lahat ng mga public utility vehicles na non-compliant doon sa modernization requirement nila dahil hindi nga malinaw kung ano ang mga requirements nila. Ang sabi naman natin, sa modernization, kailangang ligtas at ito'y compliant sa Clean Air Act, 'yun lang naman. Bakit nila mamadaliin at tatanggalan ng trabaho ang ilang daanlibong mga drayber natin?" Poe asked.

Under pressure by senators and stiff opposition from transport leaders, the state's transport regulator agreed in principle to hold in abeyance the implementation of the March 2019 deadline for jeepney operators and drivers to consolidate themselves and form a corporation or cooperative to be able to participate in the modernization.

Poe also backed Senate President Pro-Tempore Ralph Recto's suggestion to let the market forces decide and implement the modernization voluntarily among transport operators.

"Hindi pa nga malinaw kung papaano makaka-utang ng pera 'yung mga drayber para makakuha ng bagong sasakyan. Hindi rin malinaw kung ano ba talaga ang magiging requirement para doon sa sasakyan nila. Sa ngayon, hindi pa handa ang gobyerno, mawawalan ng masasakyan ang ating mga kababayan at mawawalan din ng trabaho ang marami," Poe said.

Transport groups also accused the Transport department, particularly the LTFRB, of favoring big companies with regard to the grant of new transport franchises. They said the banks' capital and infrastructure requirements were too steep and something that they, clearly, could not afford.

"'Yun pa ang isang nakakadismaya, ang nangyayari, ang nabibigyan ng mga unang prangkisa ay 'yung mga malalaking negosyante at korporasyon, walang masama do'n pero bigyan din ninyo ng pagkakataon lalung-lalo na ang mga maliliit, sila 'yung nawawalan ng prangkisa, sila 'yung nawawalan ng trabaho. Bakit inuna nila 'yung mga malalaking korporasyon? 'Yun ang tanong natin," said Poe, as she urged the government to extend more doable financing options for drivers.

"Ayusin na muna ang route rationalization... Gusto kong makakuha ang aking tanggapan ng kopya ng requirement ng bangko para makautang sila... Ito ang isang trabaho na kailangang bigyan ng oportunidad ang ating mga kababayan, basta ligtas at malinis," Poe said.

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