P4.7-B cash aid disbursed to PUV drivers, operators under Service Contracting

Published October 27, 2021, 3:11 PM

by Alexandria Dennise San Juan

The Land Transportation Franchising and Regulatory Board (LTFRB) has so far distributed P4.7 billion payouts to drivers and operators under Service Contracting.


Based on the data provided by the LTFRB, the total compensation and incentives given to drivers and operators in the first phase of the Service Contracting program amount to over P1.9 billion as of June 30, and close to P2.3 billion from Sept. 13 to Oct. 23 under the Bayanihan to Recover as One Act or Bayanihan 2.

Almost P540 million were disbursed by the LTFRB to drivers and operators during the second phase from Sept. 13 to Oct. 23 under the General Appropriations Act (GAA) funding.

These figures translate to just 41 percent of the P5.58 billion budget allocated under Bayanihan 2, and only 17.9 percent of the P3 billion earmarked for GAA.

The second phase of the Service Contracting Program was rolled out by the Department of Transportation (DOTr) and the LTFRB in September after the first phase was suspended last July 1 as the Bayanihan 2 expired.

The reimplementation of the program has also been expanded and now covers other regions across the country aside from Metro Manila.

Transportation Secretary Arthur Tugade urged public utility vehicle (PUV) operators and drivers to sign up for the program to aid them in their everyday operational expenses amid restrictions due to the ongoing pandemic.

Under the program, the government through the DOTr and the LTFRB will provide a weekly payout to PUV operators and drivers based on kilometers and trips on top of a one-time incentive of P5,000 per unit.

“Inaanyayahan namin ang mga drayber at operator na lumahok sa Service Contracting program. Malaking tulong ito para tuluy-tuloy ang kita sa gitna ng pandemya (We call on drivers and operators to participate in the Service Contracting Program. This is a big help for the continuation of their income in the midst of the pandemic),” Tugade said.

Meanwhile, as part of the Service Contracting, the DOTr shared that its “Libreng Sakay” program for medical frontliners, authorized persons outside of residence (APORs), and other essential workers already reached a total ridership of 53,226,651 as of Oct. 24