DOTr Removes GPS Requirement to Simplify Service Contracting Program Entry

Quezon city: Removing the global positioning system (GPS) device requirement for drivers of public utility vehicles (PUV) to join the government's Service Contracting Program (SCP) will ease inclusion into the support scheme. In a media interview at the Araneta Center Terminal in Quezon City, Acting Transportation Secretary Giovanni Lopez said removing the GPS requirement is in line with President Ferdinand R. Marcos Jr.'s order to make it easier for PUV drivers to join and benefit from the net SCP.

According to Philippines News Agency, Lopez emphasized the need to ease the burden of operators and drivers by not adding costs and responsibilities associated with installing GPS systems. He stated that the aim is to simplify the process so that more operators and drivers can participate in the program.

The SCP offers two payment models for PUV operators: "gross" and "net". Under Gross Cost Contracting, the government compensates the operator a fixed amount based on the distance traveled, while fare collections go directly to the government. In contrast, Net Cost Contracting allows operators to retain fare revenue with an additional subsidy from the government based on kilometers traveled, covering the gap between fares and operating costs.

To join the net SCP, PUV drivers will only need a QR code to monitor their journeys. This scheme will provide additional revenue to bus drivers and operators of up to PHP100 per kilometer, PHP40 per km for modern jeepneys, and a maximum of PHP30 per km for traditional jeepneys.

The Department of Transportation (DOTr) also announced that PUVs under the net SCP can avail of the benefits for five days a week, with a maximum of 100 kilometers per day. Passengers of PUVs under the SCP will receive a 20-percent fare discount, while students, senior citizens, and persons with disabilities (PWDs) will get a 40-percent discount.

In a separate interview during the inspection, Pasang Masda transport group national president Roberto 'Ka Obet' Martin voiced support for the SCP and the PHP10 per liter fuel discount provided by the national government. Martin highlighted the program's benefits for drivers, operators, and commuters, citing President Marcos' commitment to inclusive assistance.

Pasang Masda comprises around 11,000 drivers and operators in Metro Manila. Alliance of Transport Operators and Drivers Association of the Philippines president Boy Vargas also expressed gratitude to President Marcos and Secretary Lopez for their assistance during the national energy crisis.

Metro Comet Transport Service Cooperative chair Ed Comia praised the SCP's implementation and expressed hope for an expanded budget to broaden the program's scope. Comia emphasized the importance of continuing and expanding the SCP due to its positive impact.