Debt forgiveness program for jeepney drivers eyed

MANILA, Philippines — A bill was filed in Congress Thursday aiming to modernize the public utility jeepney (PUJ) system while addressing the financial struggles faced by thousands of drivers and operators.

The "Jeepney Drivers’ Debt Forgiveness and Modernization Act” proposes a “comprehensive and inclusive approach to the ongoing challenges of the PUJ modernization program”.

Under the program, a government-funded debt forgiveness program will be initiated to help alleviate PUJ drivers’ financial woes. It will cancel outstanding loans incurred under the existing modernization scheme.

“Jeeps should be modernized, drivers should be debt-free,” Rep. Brian Poe (FPJ Panday Bayanihan Party-list), the bill’s principal author, said in a statement.

Poe said the bill also eliminates the mandatory cooperative consolidation requirement, ensuring independent operators have equal access to grants and subsidies if they meet safety and regulatory standards. This, he added, marks a change toward a more equitable system that supports a diverse range of operators.

The bill further introduces a Public-Private Partnership mechanism aimed at strengthening local manufacturing, creating jobs, and enhancing the overall economic landscape. Recognizing the need for skill development, it also offers retraining, upskilling initiatives, and financial assistance to drivers during this important transition.

Key components of the proposed reform include a gradual six-year phase-out of traditional jeepneys, fair fare pricing, and commuter subsidies.