The Philippine Chamber of Cooperatives, Inc., or Coop Chamber, directly calls on the President to consider the immediate and full implementation of the public transport modernization program to completely ease the burden of transport cooperatives nationwide that already embrace this program for the smooth transition from traditional operations to modernization.
In celebration of the Transport Cooperative Day every 19th of October, pursuant to Presidential Proclamation No. 723, s. 2024 with the theme: “Transport Cooperatives: Moving Together for a Better Philippines,” the Coop Chamber supports the call of the National Federation of Transport Cooperatives for the recalibration of the proposed government budget and increase the funding of the Public Transport Modernization Program (PTMP) and the Service Contracting Program to a total of PhP 10-billion pesos, and another separate budget of PhP 2 billion pesos for the Equity Subsidy, and PhP 2.5 billion for the Fuel Subsidy. We also support their appeal to lower the fuel price subsidy threshold to $60 per barrel under the DOE parameters.
LTFRB data shows that more than 80% of the nationwide industry franchise consolidation has already been completed, with cooperatives operating and ensuring the public requirement for an improved transportation system.
“There are improvements,” said Noel D. Raboy, Chairperson of the Coop Chamber. “If only the government WOULD consider the full implementation of the PTMP, backed by financial, logistical, and technical support, this program will be successful and will benefit not only the transport cooperatives but all the Filipino commuters nationwide.”
Following the Coop Chamber’s sectoral consultation with major transport cooperatives during the first quarter of this year, we HAVE already coordinated with the DOTR to urgently appeal for government intervention to fully realize the PTMP. This includes the adoption of the following policy recommendations, including:
- Full operationalization of the PTMP, with an increased budget for 2026;
- Continuation of the financial assistance or incentives, and provision of subsidies through service contracting to support the transport cooperatives;
- Standardization of the unit costs for modern vehicles and provision of alternative financing options with low interest;
- Enforcement of the provisions of Republic Act 10642 or the Lemon Law, in terms of addressing issues of service providers or manufacturers in repair, maintenance, and after-sales of acquired modernized jeep through the PTMP. This will ensure that cooperatives have access to reliable and efficient after-sales service;
- Full support of the LGU in finalizing the Local Public Transportation Route Plan and the issuance of the necessary business permits;
- Promotion of local transport industry development through the identification of local manufacturers and suppliers that can provide the required units and spare parts. This would revive the local car manufacturing industry. Moreover, this would also mean the creation of more quality jobs, which is aligned with the agenda of the Marcos, Jr. Administration to create more jobs or livelihood activities related to the industry;
- Addressing the long-standing issue of the presence of colorum;
- Standardization of the salary scheme for drivers and industry workers;
- Provision of infrastructure support and facilities such as free common terminals (eventually leading to low-cost terminal fees), including setting of designated loading and unloading areas;
- Ensuring of cooperative representation in local transport planning, implementation, and monitoring;
- Expansion of the tax incentives, including VAT exemption for modernized vehicles, and REDUCING bureaucracy, including documentary requirements for registered transport cooperatives engaging in the PTMP;
- Provision of capacity building and continuing education programs for cooperative officers and members focusing on financial management, operations, and digital systems;
- Extending support to cooperative enterprises that are directly related to transportation, such as food hubs, canteens, auto parts, gasoline importations, and other related transportation-related services. This will create a more comprehensive and self-sufficient ecosystem for the transport cooperatives; and
- Establishment of a national performance scorecard for transport cooperatives to monitor service quality, compliance, and innovation, and recognize outstanding cooperatives with annual incentives and access to special government projects.
“Guided by our cooperative values and principles, we highly believe that full implementation of the PTMP will result IN growth and development of cooperatives and expansion of benefits and support to all coop members nationwide,” added Chairperson Raboy.
Considering the good internal management, full transparency and accountability, and implementation of the fleet operation and sound imprest system, backed also by hardworking manpower and member support, the public transport modernization program will continuously be patronized by millions of Filipino commuters braving our roads with comfort and ease because of the good features offered by modernized vehicles in our streets.
MAKABAGONG SISTEMA AT MAKABAGONG SASAKYANG PAMPUBLIKO SA BAGONG PILIPINAS.
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