PUV drivers, operators to receive fuel subsidy

CEBU, Philippines — Public utility vehicle (PUV) drivers and operators—regardless of whether they are part of consolidated cooperatives under the PUV Modernization Program—are set to receive fuel subsidies from the national government amid surging fuel prices driven by ongoing tensions in the Middle East.

President Ferdinand Marcos Jr. has directed the Department of Transportation (DOTr) and the Land Transportation Franchising and Regulatory Board (LTFRB) to ensure the swift distribution of assistance to affected drivers and operators.

In a statement issued yesterday, the DOTr emphasized that even non-consolidated PUVs—those not affiliated with cooperatives under the modernization program—will still be eligible for the subsidy. No amount was mentioned yet.

The goal, according to the agency, is to make the fuel subsidy program inclusive, recognizing that the entire transport sector is being affected by rising fuel costs, especially in light of the regional conflict between Israel and Iran.

The Middle East crisis has heightened concerns over oil supply disruptions, particularly with key shipping routes such as the Strait of Hormuz under threat. This strategic waterway, located between Oman and Iran, connects the Persian Gulf with the Gulf of Oman and the Arabian Sea, and is crucial for the global movement of oil and other commodities.

To streamline the subsidy distribution process, the DOTr and LTFRB are coordinating with various government agencies, including the Department of Energy (DOE), the Department of the Interior and Local Government (DILG), the Department of Information and Communications Technology (DICT), and Land Bank of the Philippines.

While no specific date has been announced for the start of the subsidy rollout, the DOTr said it will commence "at the soonest possible time."

Meanwhile, oil firms implemented the first tranche of a significant price increase on Tuesday. Starting yesterday, prices went up by P1.75 per liter for gasoline, P2.60 per liter for diesel, and P2.40 per liter for kerosene. The adjustments were made by major players including Pilipinas Shell, Caltex, Seaoil, Cleanfuel, and Petron.

The second tranche—completing the total hike of P3.50 per liter for gasoline, P5.20 per liter for diesel, and P4.80 per liter for kerosene—will be implemented tomorrow, Thursday. The DOE said the staggered increase was agreed upon by oil companies during a meeting with DOE officer-in-charge Sharon Garin and Undersecretary Alessandro Sales. — (FREEMAN)