A party-list member of the House of Representatives on Wednesday said public utility vehicle drivers who would acquire a modern jeepney worth P2.8 million must earn at least P7,000 a day to pay it off.
Rep. Bonifacio Bosita of 1 Rider party-list group said this during the House committee on transportation hearing on the government’s jeepney modernization program.
“Based on [state-run] Landbank’s computation of granting loans at six percent annual interest payable for seven years and at P2.8 million per unit, a cooperative would need to raise P40,000 monthly to pay for each unit,” Bosita said.
“This amount excludes fuel, facilities, cooperative management, maintenance and other mandatory expenses. Each unit would need to earn P4,000 to P5,000 a day for these expenses [of loan payment and maintenance], excluding the amount that the driver will earn. If drivers are looking at earning P1,500 or P2,000 per day, that would be P7,000 per day,” he added.
Meanwhile, a transportation official reiterated Wednesday there is no government imperative that cooperatives participating in the PUV modernization program should only buy modern jeepneys made in China.
“We never said that it should be made in China. We’ve always said it’s in the hands of the cooperatives and corporations in buying modern vehicles. It’s their choice, and there are many choices,” said Jesus Ferdinand Ortega Jr., chairman of the Office of Transportation Cooperatives under the Department of Transportation.
In response to Bosita, Land Transportation Franchising and Regulatory Board chairperson Teofilo Guadiz III said Bosita’s computation was based on the acquisition cost of P2.8 million, noting that “we have [modern] jeepneys that cost P980,000 [each].”