SC asked to stop implementation of PUV modernization program

The Supreme Court (SC) was asked on Wednesday, Dec. 20, to stop the implementation starting Jan. 1, 2024 of the Public Utility Vehicle Modernization Program (PUVMP) that would cancel existing franchises of all public utility jeepneys (PUJS) and their consolidation into transport cooperatives and corporations.

The petition which sought from the SC the issuance of a temporary restraining order (TRO) was filed by the Pagkakaisa ng mga Samahan ngtsuper at Opereytor Nationwide (PISTON), a representative of a commuters’ group, and several individuals. PISTON is a group of jeepney drivers and operators.

Named respondents in the petition were Transportation Secretary Jaime J. Bautista and Land Transportation and Franchising Regulatory Board (LTFRB) Chairperson Teofilo E. Guadiz III.

Challenged in the petition were seven administrative issuances by the Department of

Transportation (DOTR) and LTFRB which were allegedly done with grave abuse of discretion and violative of the constitutional and statutory rights of petitioners. These are:

1. DOTR Department Order (DO) No. 2017-011 (Re: Omnibus Guidelines on the Planning and Identification of Public Road Transportation Services and Franchise Issuance).

2. LTFRB Memorandum Circular (MC) 2018-008 (Consolidation of Franchise Holders in Compliance with Department Order No. 2017011, otherwise known as the Omnibus Franchising Guidelines (OFG).

3. LTFRB MC 2019-066 (Simplified Process for Applications for Consolidation of Individual and Existing Franchise Holders in Compliance with the PUVMP and the Department Order No. 2017-011 (OFG)).

4. LTFRB MC 2020-084 (Extension of Time to File Application for Consolidation Pursuant to Industry Consolidation of PUVMP).

5. LTFRB MC 2021-021 (Guidelines for the Issuance of Provisional Authority to Units of Individual Operators with Pending Application for Consolidation and those that Failed to File an Application for Consolidation Pursuant to the Omnibus Franchising Guidelines (OFG) and the Procedure in the Qualification and Selection of Applicants).

6. LTFRB MC 2023-047 (Guidelines for the Acceptance of Application for Consolidation); and vii. LTFRB MC 2023-051 (Allowing Operations of Consolidated Transport Services Entities in All Routes with Filed Applications for Consolidation on or before31december 2023).

The implementation of the administrative issuances would eventually phaseout passenger jeepneys from roads starting Jan. 1, 2024.

The petitioners told the SC that the DOTR and LTFRB issuances violate the constitutional provisions that guarantee freedom of association, right to due process, right to equal protection of laws, right against unreasonable seizures, and the right to gainful employment and livelihood.

They said the issuances are invalid exercise of police power and a usurpation of legislative prerogative.

They also said the orders and circular are overly broad and infringe the constitutional freedom of association as these issuances force the drivers and operators to join an organization or cooperative.

The SC, they pointed out, has repeatedly ruled that right to join an association carries with it the right not to join.