THE Land Transportation Franchising and Regulatory Board (LTFRB) has again extended the provisional authority (PA) for public utility jeepneys (PUJs) and UVE units to continue operating until December 31, 2025.
Pursuant to Memorandum Circular (MC) 2024-043, effective Monday, December 9, 2024, the LTFRB has extended the validity of the PA for operators of Public Utility Vehicles (PUVs) that have applied for consolidation under the Public Transport Modernization Program (PTMP).
According to the LTFRB website, the PA serves as a temporary remedy for individuals who intend to operate their units while their franchise applications are pending with the agency.
The LTFRB reopened applications for consolidation for 45 days, from October 15 to November 29.
“Following the April 30, 2024 deadline under MC 2024-01, the Board issued MC 2024-039 allowing Transport Service Entities (TSEs) to accept additional members until November 29, subject to the guidelines set forth in said MC,” said part of MC 2024-043.
The memorandum titled “Extension of Provisional Authority Issued Pursuant to the Public Transportation Modernization Program” allows individual operators and TSEs with pending applications for consolidation to continue operating until December 31, 2025, or until they receive their Certificate of Public Convenience (CPC).
This decision responds to a significant volume of consolidation and amendment applications submitted to the LTFRB Central Office and its Regional Franchising and Regulatory Offices (RFROs), leading the LTFRB to further extend the validity of the PA.
“In light of the numerous applications for consolidation and amendment requests submitted to the LTFRB Central Office and its RFROs, there is a need to further extend the validity of the PAs issued by these offices in the implementation of the PTMP,” reads another excerpt from MC 2024 -043.
The extension specifically applies to operators of PUJs and UVE services with ongoing or amended consolidation applications.
SunStar Cebu tried to contact LTFRB 7 Director Eduardo Montealto on Sunday, December 15, but he was unavailable.
Reason for extension
In MC 2023-051, the LTFRB allowed consolidated TSEs and individual operators with filed applications for consolidation as of December 31, 2023 to operate under their existing PAs until December 31, 2024, or until they receive their CPC.
By January 24, President Ferdinand Marcos Jr. approved a three-month extension of the deadline for industrial consolidation to April 30, as recommended by Department of Transportation Secretary Jaime Bautista.
After this April deadline, MC 2024-039 was issued, allowing the TSE to accept new members until November 29. The need for further extension arose due to numerous applications for consolidation and amended requests filed with the LTFRB.
Operators must ensure that their vehicles are registered with the Land Transportation Office and have valid personal passenger accident insurance.
TSEs may request a PA from either the LTFRB Central Office or RFROs upon payment of prescribed fees.
The PTMP aims to phase out traditional jeepneys in favor of safer and more durable vehicles equipped with modern features such as Euro 4 engines or electric motors. Operators must form cooperatives or companies to apply for new franchises under this program — a process that has resulted in delays and financial challenges for many.
Add-on history
A report by SunStar Cebu indicates that the consolidation deadline has been extended eight times since 2017.
This year, Marcos Jr. announced that the April 30 franchise consolidation deadline would not be extended again. However, LTFRB Chairman Teofilo Guadiz III noted that unconsolidated PUVs can join existing cooperatives for an additional period from October 15 to November 29.
According to a separate report, about 94 percent of the PUVs in Central Visayas have been consolidated, leaving only six percent, or about 480 units, yet to do so. / CDF
