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DOTr launches ₱1B PUV subsidy with fare discounts and distance-based operator payments amid rising fuel costs

PGMN Staff by PGMN Staff
April 11, 2026
in News, Politics, Trending
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DOTr launches ₱1B PUV subsidy with fare discounts and distance-based operator payments amid rising fuel costs
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The government will roll out a ₱1 billion service contracting program for public utility vehicles on April 15, aiming to keep transport services running as rising fuel prices continue to strain operators and limit daily trips.

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The Department of Transportation said the program will cover jeepneys, buses, UV Express units, and EDSA Carousel buses across 823 routes nationwide, including major corridors in Metro Manila, Cavite, Laguna, and Rizal. Officials said the measure responds to a growing problem on the ground, with some drivers reducing trips or stopping operations due to higher fuel costs, affecting commuters who rely on daily transport for work and school.

Acting Secretary Giovanni Lopez said the situation has already disrupted operations in some areas. “We know that with the continuous increase in oil prices, it is dangerous for our public vehicles to operate. Some are reducing trips, others are not plying their routes,” he said.

Under the program, operators will be paid based on distance traveled. Bus units will receive up to ₱100 per kilometer, modern jeepneys and UV Express units ₱40 per kilometer, and traditional jeepneys ₱20 to ₱30 per kilometer. Each unit will be limited to 100 kilometers per day and five operating days per week.

Commuters will receive a 20 percent fare discount on participating routes, on top of existing reductions for students, senior citizens, and persons with disabilities. This brings total fare cuts to as much as 40 percent for eligible passengers.0

The program will prioritize routes linked to MRT and LRT lines, where passenger demand remains high. Payments to operators are expected within three to five days, with GPS and manual monitoring in place. The ₱800 million allocation for road transport may last only about two weeks, and the DOTr has requested an additional ₱5 billion to continue the program.

Tags: DOTredsa carouselfare discountsfuel costsgiovanni lopezpuv subsidyservice contracting
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