Only LTO-registered unconsolidated PUVs allowed until April 30

UNCONSOLIDATED PUBLIC utility vehicles (PUVs) are allowed to operate until April 30 as long as they are registered, the Land Transportation Franchising and Regulatory Board (LTFRB) said Thursday.

LTFRB chairperson Teofilo Guadiz III cited Memorandum Circular 2024-001 which issued the guidelines on the consolidation during the period of extension and granted provisional authority to unconsolidated individual operators to operate until the extension of the consolidation deadline on April 30.

"Confirmation of units of unconsolidated individual operators may be allowed until April 30, 2024. The said units are allowed to ply the route as PUV only within the said period," the memorandum read.

President Ferdinand R. Marcos Jr. earlier approved the recommendation of Transportation Secretary Jaime Bautista to grant a three-month extension for the industry consolidation component of the Public Transport Modernization Program (PTMP).

The memorandum had also set the guidelines for filing of application for consolidation. 

For routes covered by the Local Public Transport Route Plan (LPTRP) or route rationalization, consolidation is allowed on existing rationalized routes with no consolidated entity as of Dec. 31, 2023.

For routes not yet covered by LPTRP, consolidation is allowed if the number of unconsolidated units in a particular route is at least 40 percent of the total number of authorized units (NAU).

The consolidated entities on the said route must comply with a common fleet management to ensure organized dispatch of units and avoid cut-throat competition between them.

If the number of unconsolidated units is below 40 percent of the total NAU, consolidation will not be allowed, the LTFRB said.

Unconsolidated individual operators may join existing transport service entity on the route.

For routes with NAU of less than 15 units, consolidation will be allowed if the application for consolidation covers at least the majority of the existing NAU on the said route.

Based on MC 2024-001, the period to complete the required number of units of pending applications for consolidation with affidavit of undertaking as provided for under MC 2020-084 is extended to April 30.