DOTr seeks P5B to fund PUV service contracting program until July
MANILA, Philippines — The Department of Transportation (DOTr) has requested an additional P5 billion from the Department of Budget and Management to fund the Service Contracting Program (SCP) to support operators of buses, jeepneys, and UV express until July amid the rising cost of fuel.
The DOTr also announced in a separate press conference that public utility vehicles (PUVs) will receive financial support of P30 to P100 per kilometer starting April 15, 2026.
Transportation Secretary Giovanni Lopez said it allocated P1 billion to sustain the program for two weeks, with P800 million for road-based transportation and P200 million for maritime transportation services.
READ: DOTr to pay route-based PUVs P30-P100/km starting April 15
“We wrote a letter today. I asked the president during the last UPLIFT [Unified Package for Livelihoods, Industry, Food and Transport] meeting. He said yes. It’s all about timing, and I hope the fund will be released to us immediately before the existing funds run out,” Lopez said in Filipino in a roundtable discussion with INQUIRER.
Lopez noted that traditional jeepneys would receive P30 per kilometer, modern jeepneys and UV express will be paid P40 per kilometer, and buses will be given P100 per kilometer.
He explained that only these PUVs will benefit from the SCP as their services are route-based.
He also said that this program would be monitored through the use of a global positioning system (GPS), through the coordination with GPS providers under a P500 monthly rent to be shouldered by the drivers and operators.
Meanwhile, a manual monitoring system will be implemented by the Land Transportation Office, Land Transportation Franchising and Regulatory Board (LTFRB), and Metropolitan Manila Development Authority.
Lopez said that he had ordered the immediate release of funds, once approved, to the PUVs to avoid delays.
“That’s why I asked the LTFRB to pay them after three to five days. Don’t repeat what happened before, when it took months or weeks before they were paid. They need this, and it defeats the purpose of the program if you pay them after two weeks, after 10 days,” he added.
READ: DOTr begins rollout of fuel subsidies for PUV drivers, operators
Lopez added that a 20% discount would be given to passengers of the participating routes under the SCP.
He added that this is on top of the 20% discount given to students, senior citizens, and persons with disabilities.
Fuel subsidy program
Meanwhile, Lopez shared that P1 billion of the P2.5 billion fund for the fuel subsidy program for operators and drivers of PUVs had already been disbursed.
The DOTr began distributing fuel subsidies last March 24.
Lopez earlier said that 245,066 drivers and 1,180,783 units of PUV operators would benefit from this program.
He noted that the subsidy amount is not proportional across all PUV types, ranging from P1,500 to P10,000 depending on the mode of transportation.
He also said that while only legitimate drivers and operators will receive the fuel subsidy, the agency submits the list of colorum units to the Department of Social Welfare and Development (DSWD) for processing the distribution of cash assistance.
The DSWD separately provides cash assistance worth P5,000 under its Assistance to Individuals in Crisis Situations program. /gsg /atm
