The Department of Transportation (DOTr) has urged public utility vehicle (PUV) operators and drivers to either establish or merge into transportation cooperatives or corporations, highlighting the ongoing push for the government’s Public Transport Modernization Program (PTMP).
In a statement released on Wednesday, the DOTr announced that the window for franchise consolidation and accreditation under the Land Transportation Franchising and Regulatory Board (LTFRB) will remain open until March 2027.
“Iniutos ni Pangulong Ferdinand Marcos Jr. na isulong ang malawakang modernisasyon ng pampublikong transportasyon para sa kapakanan ng mga transport workers at mga pasahero,” it said.
This consolidation is a core pillar of the PTMP, a sweeping initiative designed to overhaul the nation’s aging transit fleet with safer, highly efficient, comfortable, and eco-friendly alternatives.
The benefits of the program were emphasized by Edmundo Cadavona, chairperson of the Pandacan Transport Service MPC, during a DOTr interview shared on Facebook.
Cadavona shared that their cooperative has successfully expanded its fleet from 30 units to 105 modernized jeepneys, supporting 170 member drivers and operators.
“Yung mga drivers namin ay talagang salary-basis, with complete benefits. Meron silang SSS (Social Security System), PhilHealth, Pag-IBIG, 13th month pay. Tapos yung excess dun sa eight hours nila may overtime pay sila. Then holidays, pag pumasok, double pay din,” Cadavona said.
Prior to joining the PTMP, transport workers operated under the traditional “boundary” system, requiring drivers to pay a fixed daily fee to operators. This arrangement left drivers’ daily earnings vulnerable to weather conditions, luck, and fierce competition on the road.
The DOTr noted that the old setup frequently forced drivers to overload vehicles, speed, and endure grueling hours to make a profit—hazards that the modernized program explicitly aims to eliminate.