DOTr to provide PUVs fuel subsidy in areas under GCQ

The government may soon give fuel subsidies to public utility vehicles (PUVs) allowed to operate in areas under general community quarantine (GCQ).

Department of Transportation (DOTr) Assistant Secretary Mark Richmund de Leon announced Monday that the Inter-Agency Task Force for the Management of Emerging Infectious Diseases (IATF) has adopted the agency’s proposed P8.8-billion fuel subsidy program for PUV operators and drivers affected by quarantine restrictions imposed by the government to contain the

COVID-19 outbreak.

“As of the latest feedback...the task force has already adopted that proposal of DOTr, so we will just follow up this measure with the [IATF] kung paano ung mechanics ng pagdownload ng pera (on the mechanics in downloading the funds) for that measure,” De Leon said during the hybrid hearing of the Senate committee on Public Services on the resumption of public transport under the eased lockdown rules.

The DOTr had earlier suggested to the IATF the grant of fuel subsidy equivalent to 30 percent of the daily consumption of buses and jeepneys to compensate for lost income since they would only be allowed to operate at reduced capacity.

DOTr Assistant Secretary Steve Pastor said bus units will be given P1,200 (at 36 liters) and P360 for jeepneys (at 12 liters) for a total of about P8.8 billion for three months.

The program will cover PUV operators and drivers nationwide, Pastor said.

Aside from the fuel subsidy, De Leon said the IATF also approved their proposal to restructure the existing loans of transport operators, including among others, the deferment of the amortization.

“I think some of the government financial institutions such as Land Bank [of the Philippines] and DBP (Development Bank of the Philippines) have already granted this proposal of DOTr and also they are mandated under the Bayanihan Act,” he said in mixed English and Filipino.

The DOTr, he said, had also proposed to ease the terms of the loans that will be provided to PUV operators and drivers to ease their burden during the GCQ period.

The same proposals were also submitted to Congress.

Fixed salary

Meanwhile, De Leon said the DOTr is set to propose a fixed daily salary for PUV drivers to the IATF.

“Our PUVs should operate on a contract basis so they would no longer worry about their trips,” he said.

“In that way, we will be able to ensure compliance to social distancing because we already paid for their trips. They will no longer hurry to make more trips and fill their vehicles to full capacity,” De Leon explained.

He admitted that this proposal will require a bigger budget from the government.

The DOTr had earlier issued guidelines for mass transport in areas under GCQ. This include allowing PUVs to operate at reduced capacity in compliance with health safety measures, such as physical distancing and the mandatory use of face masks by drivers and passengers.

De Leon said those who wish to ply their routes shall secure a special permit from the Land Transportation Franchising and Regulatory Board (LTFRB).