LTFRB pilots P10 fuel subsidy for PUV drivers
‘It’s never been done before, but it’s something that all our transport sectors are looking forward to,’ Mendoza said during a briefing with Energy Secretary Sharon Garin.
Text size
Share
‘It’s never been done before, but it’s something that all our transport sectors are looking forward to,’ Mendoza said during a briefing with Energy Secretary Sharon Garin.
Share
The Land Transportation Franchising and Regulatory Board (LTFRB) will launch a pilot run of a P10-per-liter fuel subsidy this weekend, targeting more than 142,000 public utility vehicles nationwide.
LTFRB chairperson Vigor Mendoza II announced Friday that the pilot will take place Saturday and Sunday on select routes in Metro Manila. If successful, the program will expand nationwide in coordination with the Department of Energy and the Department of Transportation.
The subsidy covers approximately 142,698 jeepney and UV Express units. Mendoza cited that about 14,000 gas stations are expected to participate in the program.
“It’s never been done before, but it’s something that all our transport sectors are looking forward to,” Mendoza said during a briefing with Energy Secretary Sharon Garin.
Mendoza estimated that for a driver consuming 30 liters of fuel daily, the subsidy would translate to P300 in daily savings.
Alongside the fuel subsidy, Transportation Secretary Giovanni Lopez announced the reimplementation of the Service Contracting Program starting 15 April. The initiative, ordered by President Ferdinand Marcos Jr., is backed by a P1 billion budget aimed at supporting driver incomes and maintaining transport services.
Of the total budget, P800 million is allocated for road transport and P200 million for the maritime sector. The program will cover more than 1,000 operators and 50,000 units, including traditional and modern jeepneys, buses and the EDSA Bus Carousel.
“If we continue this program, the passengers who will benefit will reach more or less 15 million daily,” Lopez said.
The government’s net contracting rates are set at P40 per kilometer for modern jeepneys and UV Express units, P30 for traditional jeepneys, and P100 for buses on the EDSA Busway.
The SCP will cover 823 routes nationwide, with 545 routes located in Metro Manila and neighboring provinces including Cavite, Laguna and Rizal. The LTFRB is scheduled to publish the full list of included routes and a new fare matrix on Saturday.
