LTFRB Consolidates 85% of PUVs: A Landmark in Transport Reform

The Land Transportation Franchising and Regulatory Board (LTFRB) has made history by consolidating over 85% of public utility vehicles (PUVs) under the Public Transport Modernization Program (PTMP) by the end of 2024.

This achievement, seven years in the making, signifies a major leap toward a safer, more efficient, and environmentally sustainable public transportation system in the Philippines.

Credits: PNA

Reaching a Milestone in Transport Modernization

Franchise consolidation, a cornerstone of the PTMP, streamlined the operations of PUVs by merging smaller operators under unified franchise models.

This approach enhanced the integration of modernized fleets into the existing transport infrastructure.

Complemented by targeted route rationalization programs, particularly in Metro Manila and other urban centers, the effort has significantly reduced inefficiencies and improved public transport availability.

By November 29, 2024, 164,137 out of 191,730 PUV units had successfully transitioned to consolidated operations, achieving an 85.6% compliance rate.

The LTFRB Chairperson, Teofilo Guadiz III, emphasized the importance of this milestone, describing it as a shared success for the agency and the government.

“This is considered a milestone, not just for the LTFRB, but for the entire government. Despite several objections, strikes, and moves to suspend the program, we remain committed to accomplishing the modernization program,” Guadiz stated.

Challenges and Hurdles Along the Way

The modernization program faced its share of hurdles.

Provisional authority was extended to jeepneys unable to meet the consolidation deadline, allowing them to continue operating temporarily.

This measure was introduced following President Ferdinand Marcos Jr.’s directive to extend the consolidation period.

However, objections, labor strikes, and calls for suspension persisted, reflecting the challenges of overhauling a long-standing public transport system.

Despite these obstacles, the LTFRB pushed forward, bolstered by aggressive outreach campaigns, stakeholder collaborations, and relaxed policies to encourage operator compliance.

Diversifying Ride-Hailing Services

The LTFRB also made strides in offering more transport options by expanding the ride-hailing market.

By accrediting new transport network companies (TNCs) and renewing existing ones, the agency increased the total number of accredited TNCs to 20 as of December 2024.

Platforms like Angkas were among those accredited, offering commuters more reliable and innovative transportation choices.

This move aligns with the LTFRB’s goal of fostering healthy competition and creativity in the transport sector, giving commuters access to improved services.

Adjustments to Taxi Flag-Down Rates

Another notable development was the approval of a ₱10 increase in taxi flag-down rates, bringing the base fare to ₱50.

However, a request for an additional ₱10 hike, which would raise the flag-down rate to ₱60, is currently under review.

The LTFRB is carefully considering the proposal due to its potential impact on inflation.

Looking Ahead

The successful consolidation of PUVs and the modernization of the public transport system mark a turning point for the Philippines.

With over 85% of PUV units now operating under the modernized framework, the LTFRB has laid the groundwork for a more efficient and eco-friendly transport system.

While challenges remain, including addressing lingering resistance and maintaining the program’s momentum, the LTFRB’s efforts reflect a commitment to transforming public transport.

As Chairperson Guadiz remarked, the progress achieved thus far is a testament to the agency’s resolve to modernize and improve the country’s transportation network. The coming years will determine the full impact of the PTMP, but for now, the LTFRB’s 2024 achievements stand as a symbol of progress for a better commuting experience in the Philippines.