The future of the Public Utility Vehicle (PUV) Modernization Program is at risk. The Automotive Body Manufacturers Association of the Philippines (ABMAP) is raising urgent concerns after reports surfaced that the Development Bank of the Philippines (DBP) and Landbank have run out of funds for this crucial initiative. Without immediate government action, the much-needed shift to safer, cleaner, and more efficient public transport could come to a grinding halt.
ABMAP Executive Director Edgar Manuel didn’t mince words about the issue. “The PUV Modernization Program isn’t just about upgrading jeepneys—it’s about protecting passengers, reducing pollution, and creating jobs. The news that funding has dried up is a huge setback. We need the government to step in now and ensure that this program doesn’t stall.”
For years, the program has been paving the way for safer, Euro 4-compliant PUVs to replace old, unreliable, and polluting jeepneys. This shift has already helped sustain over 10,000 jobs in vehicle production and parts manufacturing, with an additional 20,000 workers in the supply chain relying on its success.
“Modern PUVs aren’t just about improving transport,” Manuel explained. “They support local businesses, generate jobs, and drive economic growth. Each new vehicle uses at least 50% locally sourced parts, which means we’re strengthening the local supply chain and reducing our dependence on imports. This program is a lifeline for the local automotive industry.”
ABMAP estimates that manufacturing at least 100 modern PUVs in the country could inject as much as PHP 125 billion into the economy. On top of that, these new vehicles are far more fuel-efficient, cutting costs for drivers and operators while also helping the environment by reducing carbon emissions.
But with no more funds available, the entire initiative is now hanging by a thread. “Every day that passes without action puts commuters at risk, slows economic progress, and threatens thousands of jobs,” Manuel warned. “We can’t afford to wait. The government must act now to secure the necessary funding and keep this program alive.”
To keep the momentum going, ABMAP is urging the government to explore new funding options, including partnerships with private banks and international financial organizations. “This program is too important to let slip away,” Manuel stressed. “We need all hands on deck to ensure its success. The future of public transport and the local automotive industry depends on it.”
ABMAP remains committed to supporting the government in making the PUV Modernization Program a long-term success. “This isn’t just about replacing old vehicles,” Manuel concluded. “It’s about creating a better future for commuters, workers, and the entire country. We need action now, before it’s too late.”
