Cebu-based transport groups hit ‘confusing,’ ‘inconsistent’ modernization program

Local

EXPRESSING a wave of frustration, 13 Cebu-based transport cooperatives under the Federation of Cebu Transport Cooperative (FCTC) stood their ground in full support of the Public Transport Modernization Program (PTMP) and demanded an end to what they described as the government’s "confusing" and "inconsistent" policy direction.

The cooperatives gathered at a press conference on Monday, March24, in Cebu City, where they collectively called on the government to fully implement the PTMP and to stop entertaining further delays.

They argued that despite their efforts to comply with modernization requirements, they continue to face unclear policy guidelines that hinder operations and investments.

FCTC Chairperson Ellen Maghanoy emphasized that the federation has supported the modernization program since 2018, generating around 5,000 jobs, improving the livelihood of 3,000 cooperative members, and indirectly supporting about 40,000 individuals across Cebu.

Maghanoy noted that their commitment to the program extends beyond business and profit.

She said it is also about uplifting lives and ensuring safer, more reliable public transportation for the riding public.

She added that the cooperatives have been actively involved in community support programs, such as relief operations during calamities and assistance to schools, while continuing to call for consistent and stable government policy to sustain the gains of the modernization initiative.

“For the past seven years, the transport cooperative has fostered economic growth, enhanced the quality of life of our members and employees, and extended help to the communities,” Maghanoy said.

“It is so sad to think that our government has no clear direction to the Public Transport Modernization Program," she added.

Billions in debt

The federation revealed it has incurred an estimated P3 billion in loans to comply with modernization requirements, including replacing traditional jeepneys with environmentally friendly vehicles, training personnel, and consolidating operations under formal cooperatives.

Yet their efforts, they said, are being undermined by the lack of consistent government policy, which continues to shift amid political and industry pressure.

Maghanoy said the constant changes in direction have created uncertainty not just for operators but also for commuters who were promised better, safer, and more reliable transport services.

“The ongoing changes and lack of a clear, consistent policy create confusion and hinder our operations and planning efforts,” she added.

Eco-friendly

Roberto Orilla, representing the Pit-os Talamban Mandaue Drivers and Operators Transport Multipurpose Cooperative, said modern jeepneys are not only safer and more reliable but also environmentally compliant.

He emphasized that these features make them superior to traditional jeepneys, which continue to operate in many parts of the country despite the modernization push.

Maghanoy also urged the government to work closely with stakeholders on the ground and to stop entertaining repeated calls to delay implementation.

“It is our ardent request to fully implement the program and end the old system of the traditional jeepney operations nationwide to uplift the dignity of Filipino commuters,” she said.

The media event was attended by representatives from thirteen cooperatives: El Pardo, Lahug Apas, Mandaue, Inayawan, Lapu-Lapu Mandaue, Cebu MEPZA Liloan, Kalunasan, Peoples Jeep, Banawa, Mabolo, Cebu Provincial Operators, San Dionisio, and Pit-os Talamban Mandaue. Several leaders expressed frustration over the lack of a stable policy framework and warned that continued indecision could discourage further investment in modern transport systems.

Long road to modernization

The PTMP, formerly known as the Public Utility Vehicle Modernization Program, was launched in June 2017 by the Department of Transportation (DOTr) under the Duterte administration.

It was a sweeping reform aimed at overhauling the country's aging and fragmented public transport system, particularly the iconic but outdated jeepneys.

Initially called the Modern PUV Program or MPUV, the initiative sought to phase out public utility vehicles more than 15 years old and replace them with units that met higher emission and safety standards.

These modern units were required to have Euro 4-compliant engines or electric power, and include GPS, CCTV, dashcams, automated fare collection systems, and features for persons with disabilities.

The program also required operator consolidation.

Instead of individually owned jeepneys, operators were urged to form cooperatives or corporations to qualify for financial assistance and franchise grants.

This move was backed by the Land Transportation Franchising and Regulatory Board’s Omnibus Franchising Guidelines, which aimed to rationalize routes and modernize fleet operations based on plans set by local governments.

However, implementation of the program was uneven. Some transport groups pushed back, saying the costs were unaffordable, the loans inaccessible, and the deadlines unrealistic.

The government initially targeted 2020 as the full transition year, but this was extended multiple times, first to 2021, then to 2023, and later to December 2023.

In early 2024, following widespread protests and lobbying, the government again extended the consolidation deadline to April 30, 2024.

As the program evolved, the DOTr rebranded it as the Public Transport Modernization Program to reflect broader goals. Beyond vehicle upgrades, the initiative now includes reforms in labor conditions, fleet management, route planning, and overall commuter experience.

Thousands of modernized jeepneys have since begun operating across the country, but many areas remain in transition. For groups like the FCTC, the commitment to modernization has already been made.(MyTVCebu)