MANILA — Traditional jeepneys which fail to consolidate their franchises this month will still be allowed to ply select routes until Jan. 31, 2024, the Land Transportation Franchising and Regulatory Board (LTFRB) said.

Authorities earlier said traditional jeepneys could lose their permit to operate if they fail to consolidate individual franchises into a single franchise under a cooperative or corporation by Dec. 31, 2023 as part of the public utility vehicle (PUV) modernization program.

But in its latest memorandum, the LTFRB said non-consolidated individual jeepneys would be allowed to ply routes where less than 60 percent of units are consolidated.

The LTFRB board will determine these routes.

During this period, the LTFRB said show cause order would be issued to non-consolidated drivers and operators.

But those who fail to comply with the Dec. 31 deadline "shall no longer be allowed to organize into a juridical entity or join existing consolidated TSEs (transport service entities)," it added.

Transport groups earlier warned of a possible transport crisis if thousands of traditional jeepneys are forced to stop plying the roads for failing to consolidate.

Jeepney drivers and operators have said "modern jeepneys" are too expensive and will deprive single-unit operators of route franchises that will then go to big corporations and to transport cooperatives.

Some drivers and operators have argued that upgrading existing jeepneys will be a less expensive way to make them more fuel efficient and environment friendly.

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But the Department of Transportation (DOTr) said forming a cooperative would allow operators easier access to funds, especially when applying for loans for the modern jeepneys.

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DUE PROCESS

The DOTr said drivers and operators who failed to comply with the consolidation requirement would be given due process.

“Yung mga hindi nag-consolidate pagdating ng January, tuloy pa rin silang babyahe dahil we will give then due process. May proseso po ang LTFRB na gagawin sa kanila," said Jesus Ferdinand Ortega, chairperson of the DOTR's Office of Transportation Cooperatives.

"They will be given a chance to explain, they will be given a chance to process, para finally sa huli ay mabibigay sa kanila ang desisyon ng LTFRB wherein kapag hindi sila nag-consolidate ay hindi na sila pwedeng tumakbo,” he said in a televised briefing.

As of mid-December, around 70 percent of PUV drivers and operators have complied with the consolidation requirement, higher than government target of 65 percent.

"Ang point lang po dito sa Metro Manila, at the moment it is almost 30 percent ang nag-consolidate Pero kung titignan natin ang nag-consolidate in terms of routes, it is almost 50 percent na po, or 44 percent. So ang mangyayari dito ay magko-concentrate tayo sa NCR para matulungan ang areas of concern in terms of consolidation," Ortegas said.

The DOTr earlier said preparations were in place to ensure a smooth transition and prevent inconvenience to passengers on January 1. Ortega says these measures include the issuance of special permits for areas that have a low consolidation rates, including parts of Metro Manila.

“Magkaka-special permits ang mga nag-consolidate… wherein bibiyahe sila sa mga ruta... yung mga maliliit yon na hindi nag-consolidate or konti lang, para sila ay allowed to ply the routes para matulungan ang mga pasahero sa ruta na yon,” he said.

The official said most consolidated PUVs cover major routes and could easily take over smaller routes.

“Yung mga major routes, yung mga mahahabang ruta, maybe 50, 20, 30 kilometers, yun yung mga nag-consolidate na. Yung mga hindi nag-consolidate these are the minor routes, na nasa ilalim ng mahabang ruta,” Ortega said.

“So ang nangyari dito, yung mga maiksing ruta na hindi nag-consolidate, siguro mga 3 or 4 kilometers, pero nagta-traverse doon yung mahabang ruta, pwedeng kunin ng mga consolidated na sasakyan... It will be part of their route,” he continued.

— With reports from Pia Gutierrez and Andrea Taguines, ABS-CBN News

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