DENR rejoinder to Ctalk

This has reference to the issue on replacing diesel engines that was raised by Mr. Cito Beltran in his column Ctalk in the July 18 issue of the Philippine STAR.

The DENR indeed had such a program launched by the late Sec. Angelo Reyes in Jan. 2007 for public utility jeepneys (PUJs) called the “PUJ Upgrading Program” or PUP. It was a partnership between the DENR, financial institutions, vehicle manufacturers, and transport associations and was to be piloted in Metro Manila before being implemented nationwide.

The program’s objective was to provide a financing scheme for transport associations allowing PUJ operators to avail of loans from participating banks for the purchase of new engines that were compliant to the provisions of Republic Act 8749 or the Clean Air Act. The end goal was to reduce air pollution from mobile sources, which accounted for 70 percent of air pollution in Metro Manila.

The PUP was hailed by transport associations as beneficial to their members. Unfortunately, they were unable to comply with bank requirements and thus did not qualify for the loans.

We wish to stress, however that the DENR is more than willing to assist in negotiations with financial institutions should the public transport sector wish to revive the said program.