ABMAP shares 10 reasons for supporting PUV Modernization Program

The Automotive Body Manufacturer’s Association of the Philippines (ABMAP) shared 10 reasons for supporting the government’s Public Utility Vehicle (PUV) Modernization Program.

Here they are:

1. ABMAP emphasized that not all modern PUVs are completely built-up units from China. It added that over 80 percent of the modern PUVs in the Philippines are locally made using brand-new truck chassis and are assembled in the country. This, per ABMAP, helps generate jobs for automotive body builders as well as upstream and downstream industries.

2. The locally manufactured and assembled PUVs, ABMAP said, are completely brand new, which means they have a longer service life than the old jeepneys. These new PUVs are equipped with air conditioning, allowing passengers to travel in comfort even during hot and humid weather. Standing passengers are also allowed, which creates an opportunity for extra income.

3. The seats on modern PUVs are comfortable. Likewise, the seat width allocation per passenger is wider and the distances between seat rows are longer. This means that passengers can travel in comfort even during long journeys.

4. The new PUVs are built to international standards and comply with the standards set by the Bureau of Philippine Standards Philippine National Standards. This means that modern PUVs are safer and more reliable than old jeepneys. They are also equipped with a service door on the curb side, which improves passenger safety.

5. The new PUVs are environmentally friendly as they are powered by either Euro 4 internal combustion engines or electric motors. This reduces emissions, making them better for the environment and the health of passengers.

6. The government provides an increased subsidy for PUV modernization. This reduces the financial burden on operators who are struggling to make the transition.

7. The 5-6-7 financing scheme makes the driver the owner of the PUV after seven years of payment. This means that drivers have a stake in the PUVs, which encourages them to take better care of the vehicles.

8. If operated by a transport corporation, drivers are assured of a fixed daily income complete with social benefits like Social Security System, Pag-IBIG, and PhilHealth. This ensures that drivers are not only protected but also have access to social welfare benefits.

9. Around 60 percent of PUV franchises have already consolidated, which indicates a growing acceptance of the PUV modernization program.

10. Finally, the price of the PUVs ranges from P2.1 million to P2.2 million, which is the standard price for a brand-new PUV. While some claim they can make it at P1.6 million or lower, they have yet to prove that, and mass produce them as well.

In interviews with working modern PUV franchise operators, they indicate that they do make money and can afford amortization.

According to the organization, the PUV Modernization Program offers advantages that benefit the economy, create jobs, improve passenger safety and comfort, and reduce emissions.

The program ensures that drivers have access to social welfare benefits and can afford to pay for their PUVs. With more than 80 percent of modern PUVs in the Philippines locally made, the program also helps generate jobs for automotive body builders and other industries.

Photos from the Automotive Body Manufacturer’s Association of the Philippines

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