DOTr Seeks Moratorium on Loan Interest Payments for Modern Jeepney Purchases

The Department of Transportation (DOTr) is set to request state-run lenders Land Bank of the Philippines (LandBank) and Development Bank of the Philippines (DBP) to impose a moratorium on interest payments for loans taken by transport cooperatives to purchase modernized jeepney units under the Public Utility Vehicle Modernization Program (PUVMP). Transportation Secretary Giovanni Lopez stated that this move would "somehow help them," particularly in easing the burden from rising oil prices. This initiative aligns with President Ferdinand "Bongbong" Marcos Jr.'s directive to government agencies to mitigate the effects of renewed global crude price volatility. Furthermore, the DOTr and the Land Transportation Franchising and Regulatory Board (LTFRB) are exploring the expansion of the P10 per liter fuel discount program for public utility vehicle (PUV) operators and drivers. Lopez suggested that instead of directly granting fare hike petitions from jeepney operators, expanding fuel discounts could offer a comparable benefit. "Because if you will compute it, this petition currently being asked by our traditional and modern jeepneys would mean an additional income of P300 and P500 for them if we grant it. Now, if instead of granting their requested additional income through fare hikes, we put that into a fuel discount—if we can add a higher amount or more liters of fuel—maybe that could offset it somehow," he explained. The primary objective, he stressed, is to protect commuters and manage inflation through a targeted approach. The ongoing P10 per liter fuel discount program is estimated to save qualified PUV and UV Express drivers and operators at least P1,500 weekly, assuming an approximate fuel purchase of 150 liters per week, according to the DOTr.