PUV modernization will also benefit jeepney drivers - says EVAP | Business and Politics
PUV modernization will also benefit jeepney drivers - says EVAP | Business and Politics
Rommel Juan, chairman of the Electronic Vehicle Association of the Philippines (EVAP) says that the Jeepney modernization program will widely benefit jeepney drivers. Currently, it is quite expensive to maintain an old jeepney, and it takes a lot of hours for drivers to meet their boundaries. Forming PUV cooperatives is essential for all PUVs for maintenance and fleet management. He adds that the public’s resistance to change is hampering PUV modernization.
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Rommel Juan, chairman of the Electronic Vehicle Association of the Philippines (EVAP) says that the Jeepney modernization program will widely benefit jeepney drivers. Currently, it is quite expensive to maintain an old jeepney, and it takes a lot of hours for drivers to meet their boundaries. Forming PUV cooperatives is essential for all PUVs for maintenance and fleet management. He adds that the public’s resistance to change is hampering PUV modernization.
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Transcript
00:00 You're also the president of PHUV and you're right in the thick of the modernization of Jeepneys.
00:07 I want to tie that in with our discussion on electrification, but before that, where is that now?
00:13 The modernization of the Jeepneys?
00:15 It's still ongoing.
00:17 You know, it was full throttle during the Duterte administration and actually, I have to give him credit.
00:26 It was really President Duterte who got things going.
00:31 Before that, the past administrations just couldn't.
00:36 But President Duterte was so decisive.
00:39 He said, "Okay, we will implement this." And it was implemented.
00:44 Of course, the full implementation wherein the Jeepneys will not be given a new registration.
00:52 That hasn't happened yet. But of course, not everything is available yet.
00:58 Wait and see is happening a bit now.
01:03 Because the LGUs are still fixing all their routes, their route rationalization.
01:12 And without that, the co-ops cannot get their LOG, the letter of guarantee, which they will use to get the loan from Land Bank and DBP.
01:25 So that's the problem. It needs to be finished first.
01:30 But there are a lot of co-ops that are in line, that are applying.
01:36 So that's what's waiting.
01:39 And then, of course, the manufacturers are looking at the demand.
01:45 If there's a demand, we will just let the chassis in.
01:49 And if there's a order, we will just buy it.
01:52 So, of course, when it all started, Secretary Tugade said, "Oh, that's 300,000. You need to do all of that."
02:01 We did. The manufacturers did.
02:04 There are a lot of distributors who are in the game.
02:12 There's Hino, Isuzu, Fuso, Hyundai, Photon, Autokid.
02:18 And then the bodybuilders are the ones like Centro, Almasora.
02:23 Hino does their own bodies also. Make the bodies for this.
02:27 It's a huge, huge industry actually.
02:30 And the ABMAP, the Automotive Body Manufacturing Association of the Philippines,
02:37 we employ about 3,000 workers.
02:40 So just imagine how many workers. And it can grow as the demand grows.
02:46 It will be employed.
02:48 So if this goes full swing, from what I know, it's only 5,000.
02:54 Out of what's the volume?
02:56 They said 300,000.
02:58 Running before was about 300,000.
03:01 Is that nationwide?
03:02 Nationwide, including the color rooms.
03:04 Okay.
03:05 But the figure is closer to 190,000.
03:10 Especially now that the routes are rationalized.
03:14 So definitely, the routes will change.
03:17 The high volume routes will be bus routes.
03:20 And then, of course, we're getting subway and rail-based transport that they're developing now.
03:27 But definitely, it's moving and people are seeing that it's really needed.
03:34 To me, the beauty of the modernization is really for the riding public.
03:40 Because you really see that they prefer the modern jeepneys.
03:46 Because it's air-con, convenient, safer.
03:50 And that's what really what we were after when we pushed for the PUV modernization.
03:56 We were part of the technical working group.
03:58 We removed the entrance at the back because it's really dangerous.
04:03 We put the entrance on the side.
04:05 And then we really measured the spaces.
04:09 The door needs to be this high, this length.
04:13 So it's all for safety and for what is needed for the riding public of the Filipinos.
04:22 What they really need.
04:24 So now, you'll see that when the jeepneys are lined up and there's a modern jeepney,
04:34 people will wait for the modern jeepney.
04:36 That's where they'll really ride.
04:38 And there's an argument that how will they earn? It's expensive.
04:42 They said that a modern jeepney is around 1.2-1.4 million.
04:48 I think you have to talk to the current co-ops.
04:53 I heard Kao Bet, he said that he has drivers and examples who are making money already.
05:03 So I guess it's still resistance to change.
05:07 Of course, the old way is really to protect your franchise.
05:13 Because I was able to get this franchise, so I'll protect this.
05:17 This is mine.
05:18 Do they risk losing that by modernizing?
05:21 Yes, because when it's modernized, the franchise is no longer given to an individual.
05:28 It's given to a co-op.
05:30 It's given to a co-operative.
05:32 Which makes more sense because you have to have the economies of scale.
05:36 For maintenance, for fleet management.
05:40 If you don't have that, you don't have money to maintain.
05:44 Vicious cycle.
05:45 That's why our old jeepneys are rotting.
05:48 It's because of that old system.
05:50 And what we're also trying to fix is the dangerous practice of the jeepney drivers driving for 16-18 hours.
06:01 Running after their boundary.
06:04 Because there's a boundary system.
06:06 If they can't find a boundary, they won't be able to earn.
06:09 So what we're trying to do with the PUV modernization is,
06:12 the drivers will work 8 hours, the right amount of work, and will have benefits and will work minimum wage for them to survive.
06:24 Because the old system, what the drivers say, "I earn a lot, around 1,200 a day."
06:33 But what they don't realize is that's an 18-hour day.
06:36 They almost don't sleep.
06:37 So it's not 8 hours.
06:39 But you still lose time.
06:41 And of course, efficiency-wise.
06:44 The old jeepneys, you can see, if it runs sideways, the wheels are already worn.
06:51 It runs maybe 3-4 kilometers to a liter.
06:58 And then, that machine, everyday they put new oil.
07:04 That's expensive to maintain.
07:06 That's why I believe that the newer PUVs now are making money.
07:10 Because they're much more efficient.
07:12 So it's not only good for the riding public, but it also allows the operators or the group of operators to earn more.
07:20 To earn more, yeah.
07:21 You mentioned a while ago about the LOG, you brought up the financing issue.
07:26 Is there something else that the government could do to maybe hasten that process?
07:34 Yes, that's the bottleneck.
07:39 I guess that bottleneck in the LGUs, that's the only thing that needs to be fixed.
07:46 And it differs from LGU to LGU.
07:49 So maybe what the LTFRB can do is fix that system.
07:55 I don't know how right now.
07:57 But if it's fixed, because I know that Chairman Chuck of the LTFRB,
08:05 if there's an LGU that asks for help from him, he'll call the LGU and they'll move it.
08:11 Maybe he can't call all LGUs.
08:15 We were talking earlier about electrification, EVs.
08:18 Is there a convergence there, you think?
08:20 Can our modern jeepneys use electric motor?
08:25 It's exciting because I think by November this year, there will be a Phil Apex show.
08:32 The Phil Apex show is the show that is organized by the BOI and the Philippine Parts Makers Association.
08:40 This is headed by Ferdinand Racal Santos.
08:43 And they will be showcasing these electric PUVs.
08:48 I'm excited about that because technology-wise, that's what's lacking.
08:55 When we started making electric jeepneys, we only made 14-seaters.
09:02 And mostly it's like a tourist vehicle that we make.
09:08 And all the batteries are lead-acid.
09:10 So we would have 14 lead-acid batteries.
09:14 Aside from being heavy, the range is not so long.
09:19 But with these lithium-ion batteries now, the range is long.
09:24 You can go 150-250 kilometers.
09:29 When that happens, that's the only time that electric PUVs will be feasible in the Philippines.
09:37 And I believe that once it gets introduced, it will be accepted.
09:45 How far are we from that, do you think?
09:49 Are we years ahead?
09:51 I think years.
09:53 Fearless forecast, maybe five years.
09:57 Because when those vehicles are launched, they will be presented.
10:02 And then of course there will be LGUs who will say, "Oh, I want that."
10:07 It's happening right now.
10:08 Actually, General Santos, our member, Tojo Motors, has supplied more than 100 PUVs in Gensan.
10:19 But the sizes are not so big yet.
10:22 Like 18-seaters, 16-seaters.
10:24 They have a few 22-seaters.
10:26 But what I'm waiting for is for this to become mainstream.
10:31 So wait for October.
10:34 October, November.
10:36 And then maybe it will be introduced.
10:39 And then what's important is that it will be introduced to an LGU.
10:44 And they will have charging stations there or maybe swapping stations.
10:48 And then it will work out.
10:50 Are you doing something in the area of tricycles, e-trikes?
10:54 Is that part of your interest?
10:57 In the show, in the EV Summit in SMX, October 19-21, promotion again.
11:03 There will be electric motorcycles and electric tricycles as well.
11:09 And then is that an easier problem to solve, you think?
11:12 Because at least there are TODAs, right?
11:16 I think tricycles are a bit difficult because it's been tried.
11:21 Okay. I think you've gone in or you look into it.
11:24 There was an ADB program years back in 2012 that was introduced with the DOE.
11:31 They produced about 3,000 electric tricycles by BIMAC.
11:36 It's a Japanese company that set up here.
11:39 It ended up being distributed by the DOE to LGUs.
11:47 In Manila, it's working.
11:49 In Manila, they have like 50 units that are really used for public transport there.
11:55 But it's a bit difficult because the tricycle culture is ingrained.
12:01 And it's a bit difficult to get in.
12:04 And basically, what DOTR is promoting are the PUVs.
12:10 Because the PUVs are really more efficient in terms of public transport.
12:14 In volume.
12:15 Because the tricycle is slow because it's traffic.
12:20 But I'm seeing that electric scooters, electric motorcycles will have a huge market in the Philippines.
12:30 That's what's big.
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