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Manila Bulletin devider Philippines devider National devider Why LTFRB rejects local firm's request for unli-ride, free modern jeepney offer to transport groups

Why LTFRB rejects local firm's request for unli-ride, free modern jeepney offer to transport groups

Published Apr 11, 2024 09:48 am

The Land Transportation Franchising and Regulatory Board (LTFRB) has rejected the request of Francisco Motors for an “unli-ride” along jeepney routes as it tries to introduce its own version of modern jeepneys that are planned to be given to some transport groups for free.

Francisco Motors is one of the Philippines’ old manufacturers of the traditional jeepneys that are now gradually being phased out as part of the government’s Public Utility Vehicle Modernization Program.

In a statement, LTFRB chairman Teofilo Guadiz III said the request and proposal of Francisco Motors were reviewed and were found to have technical issues, the reason behind the denial of the request.

First, Guadiz explained that the route where the proposed unli-ride tickets would be initiated does not exist since it is not part of the franchise granted to the Cazanova Transport Service Cooperative.

The company earlier said that it would work with the Cazanova Transport Service Cooperative for the pilot implementation of the TsuperHero program.

Citing records, Guadiz said that the existing routes granted to the Cazanova are Cielito Homes-Nova via Camarin Road Quirino with 39 authorized units and Almar Subdivision-Gotesco Commonwealth via Regalado with 12 authorized units.

“As seen on the route map, the end point of the proposed route Sta. Monica Shop and Ride, Novaliches, Quezon City amounted to a modification of its original route,” said Guadiz.

“Inclusion of the proposed route to any initiatives, like the "TsuperHero Program" is not under any of the conditions specified in the Memorandum Circular No. 2023-037 provides for the Guidelines for the Amendment of Fixed Routes of PUVs in MUCEP Area,” he added.

MUCEP means Metro Manila Urban Transportation Integration Study (MMUTIS) Update and Capacity Enhancement Project.

Guadiz stressed that under the existing policy, special permits are issued by the Board once the proposed routes are opened thru a Memorandum Circular as stated in LTFRB’s Citizen's Charter.

Second, Guadiz said that Francisco Motor’s proposal to offer for free their modernized jeepneys to those under the TsuperHero program is not possible since the company does not have a Certificate of Compliance from the Department of Transportation (DOTr)."

Third, Guadiz said unlimited ride being proposed by Francisco Motors does not have the authority to determine or prescribe the fares of the units to be used in the pilot implementation.”

And fourth, which covers the request for equity subsidy before the DOTr, Guadiz said that Francisco Motors “is not any of those financial institutions or partnership concessions specified in the Department Order which are authorized to assist Transport Service Entities (TSE) in the acquisition of their modern units.”

The LTFRB cited Section 6 Fiscal and Non-Fiscal Support of Department Order 2023-022 which provides that "the Department of Transportation shall partner with financial institutions, either government financing institutions (GFIs) or private financial institutions (PFIs), public-private partnership concessions, Official Development Assistance (ODA) partners, international financial institutions, or a combination thereof for programs to assist the transport service entities in the acquisition of modern PUV units."

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