P2.2 B earmarked for transport modernization plan

MANILA, Philippines — The House of Representatives has set aside P2.2 billion for the replacement of passenger jeepneys with modern units compliant with European smoke emission standards.

The amount is included in the proposed P3.8-trillion 2018 national budget, which the House has approved and is now pending in the Senate.

It would be used to extend loans to jeepney operators so they could buy euro-4 compliant, bigger and more economical replacements.

On Tuesday, President Duterte said operators should take advantage of the jeepney modernization program.

They have until December this year to replace their units or they would be arrested, he said.

He said it is the public in general that suffers from pollution caused by smoke-belching jeepneys.

He accused jeepney group PISTON of conspiring with communist rebels in destabilizing his government.             

PISTON, or Pagkakaisa ng mga Samahan ng Tsuper at Operators Nationwide, is allied with leftist groups.

For Gabriela party-list, vehicle manufacturers, instead of jeepney operators and their drivers, stand to benefit more from the P2.2-billion modernization fund.

“It’s a bonanza for private corporations that will supply electric, solar or euro-4 compliant vehicles as part of the jeepney phase-out,” the group said.

It said operators would have to obtain loans for their jeepney replacements, which they would pay for at the rate of P13,000 to P18,000 a month.

Gabriela added that while it is for modernizing public transportation, it should not be at the expense of jeepney drivers.

Lawmakers have urged the administration to adopt measures to counter a future strike by jeepney operators and drivers.

They said it did not look good that Malacañang had to cancel classes and work last Monday and Tuesday due to the strike.

Presidential spokesman Ernesto Abella said the government is willing to have a dialogue with the transport sector on the modernization program, but will not agree to a compromise if it means sacrificing the public good.

Abella said the program, which critics claimed would burden transport workers and passengers, reflects the administration’s “strong political will and decisive stance to initiate reform in the public transportation sector.”

Economic impact

The economy suffered from the two-day suspension of government work and classes due to the transport strike, Employers Confederation of the Philippines (ECOP) governor Sergio Ortiz-Luis Jr. said.

Although unquantifiable at the moment, Ortiz-Luis said the absence of many workers affected their companies’ operations.

“It had a big impact because a lot of our daily workers weren’t able to find a ride in going to work. I know a lot who were not able to go to work,” he said.

He described the government’s decision to suspend government work and classes an overreaction.

Trading at the Philippine Stock Exchange (PSE) was also suspended on Monday after the Bangko Sentral ng Pilipinas said there would be no clearing and settlement due to the suspension of work in government offices.

The PSE resumed trading on Tuesday even as classes and government offices remained suspended.

ECOP has been consistently opposing plans on further reduction in the number of working days through additional holidays, saying this will lead to lower labor productivity and higher cost of doing business in the country.

Federation of Free Workers (FFW) vice president Julius Cainglet said private firm workers were compelled to shell out more for their transportation because of the strike.

“Commuting to work became more expensive because the workers were forced to take taxis or take less comfortable means like habal-habal,” Cainglet said.

Although transport cost became costlier during the two-day strike, Cainglet said workers did not get any additional pay because it was not a holiday. – With Janvic Mateo, Richmond Mercurio, Mayen Jaymalin, Delon Porcalla, Alexis Romero