LTO eyes P2.616-B budget to address license plate backlog

The Land Transportation Office (LTO) is now requesting for a P2.616-billion budget for calendar year 2022 in the agency’s bid to produce 16 million license plates by June 30 next year.

This was the Department of Transportation’s (DOTr) following news reports pertaining to the 2020 Recommendations and Observations of the Commission on Audit (COA), particularly on the delivery of motor vehicle license plates.

In a statement, the department noted that the reported backlog is due to a lack of budget, citing the difference between the allocated budget and the one granted since two years back.

“Please note that the LTO, just like any other national government agency, remits all its revenues collected to the national treasury. Thus, it needs to request its budget allocation from the national government to address all its programs and activities,” the department shared.

The agency requested in 2019 for an allocation of P1,869,274,000 for calendar year 2020 but was only granted P696,747,000.

The following year, it asked for a P3,574,755,000 budget was only given P925,412,000. “Note that out of this allocation, only P736,747,000 was actually released to the LTO, which would only be sufficient to supply the license plates for calendar year 2021, and not the backlog,” the DOTr explained.

“Accordingly, the LTO has already requested a budget allocation of P2,616,364,198.17 for calendar year 2022 so that the agency can meet the demand to produce 16 million license plates by 30 June 2022. Therefore, the LTO wishes that it will be given the needed budget allotment to address the backlog in the motor vehicle license plates,” the department added.

Further, the DOTr revealed that the LTO is eyeing to outsource the production of plates for calendar years 2015, 2016, 2017, and 2022, to complete the projected 16 million plates by June 30 next year, instead of 2024.

“Rest assured that the current LTO administration is doing everything it can to address all the MC and MV plates backlogs. We will not stop until all these affected license plates are produced and distributed to their rightful owners,” the DOTr ended.

Photos from Land Transportation Office-National Capital Region West Office and Department of Transportation - Philippines Facebook pages

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