MEDIUM - TERM PHILIPPINE LAND TRANSPORT ACTION PLAN ( by dennishaskins

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									    ROAD MAP TO SEAMLESS
      TRANSPORTATION


MEDIUM - TERM PHILIPPINE LAND
  TRANSPORT ACTION PLAN
          ( 2005 –2010 )
       ROAD MAP TO SEAMLESS TRANSPORTATION
 MEDIUM - TERM PHILIPPINE LAND TRANSPORT ACTION PLAN
                      ( 2005 –2010 )

 1. Overview

   A safe, modern , efficient and environmentally sustainable
transportation is every Filipino’s dream. Whether it is for leisure
or business, reaching one’s destination at the shortest possible
time with relative comfort is the basic transport need of our
people.

   Land transport serves as the backbone of the country’s
transportation system, accounting for 80% of domestic
passenger traffic and 60 % of the freight traffic . It is a critical
logistics and service support to the development of trade,
tourism, investment and services sectors of the Philippine
economy.
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   MEDIUM - TERM PHILIPPINE LAND TRANSPORT ACTION PLAN
                        ( 2005 –2010 )


      While the existing land transportation system may be able to
serve the primary transport demand of our people, it has to link up
with the other modes of transportation if it is to provide the
requirements of a growing economy.

     An integrated national transportation system that has a
seamless interconnectivity between and among the land, water,
air and railway transport sectors is a key infrastructure support to
the country’s development agenda as set in the Medium - Term
Philippine Development Plan (MTPDP) and translated into
specific action programs in the President’s 10- Point Legacy
Agenda.
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      Towards this end, there is an urgent need to formulate a
plan for the land transport sector that will set in motion the
comprehensive, coordinated and integrated policy and program
initiatives that will be pursued by the government, transport
groups, private sector and other major stakeholders to
accelerate the modernization and development of the country’s
land transportation system.
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2. GOALS

 2.1 to establish a safe, modern, efficient and environmentally
 sustainable land transportation system that enhances
 productivity and economic competitiveness.

 2.2 to develop seamless interconnectivity between the land
 transport sector and the other modes of transportation, namely
 water, air and railway sectors

 2.3 to promote road safety and transport security
 2.4 to decongest key urban areas, particularly Metro Manila
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2.5 to enhance the role of the land transport sector in the
implementation of the Philippine Clean air Act of 1999
2.6 to improve the land transport sector’s support to the
production, consumption and distribution or the supply - chain of
goods and services in the country
2.7 to forge and harness cooperative partnerships with the
private sectors, non - governmental organizations (NGOs)
and other stakeholders to accelerate the modernization of the
land transport sector
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 3.Challenges and Problems Confronting The Land
                       Transport Sector
3.1 Fiscal Problems of the Government . The current budgetary
constraints of the government severely limits the type of assistance
it can extend to the land transport sector.

3.2 High Oil Prices. The recent escalation of in oil prices is
threatening the viability of the land transport sector which is
heavily dependent on diesel and gasoline. Since the government
will not be able to grant direct subsidies, non – financial assistance
programs may have to be worked out to keep the PUVs running.
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3.3 Stagnant Road Network and Unabated Rise in Motor Vehicle.
With the expected decline in government expenditure for new road
construction , the country’s road network will not be able to cope with
the growing number of vehicles using the roads.
3.4 Multiple Owners/ Operators of Public Utility Vehicles (PUVs).
Compared to other countries where the government or a few
companies own and operate the bulk of the PUVs, there is a widely
dispersed and “ democratic “ ownership and operation of PUVs in the
Philippines .

 3.5 Poor Enforcement of Traffic Rules and Continuing Illegal
 Operation of PUVs. Traffic enforcers and PUV owners/drivers are in
 collision course as corruption and incompetence on the side of former
 and unabated illegal activities on the side of the latter continue to
 persist.
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4. Implementing Strategies

4.1 Promote Government – Private Sector Partnership.
Given the budgetary constraints of the government, the private
sector will be tapped to provide the bulk of investments needed to
modernize the land transport sector.

4.2 Computerize the Operations of the LTO, LTFRB and as
well as the Planning Activities of the DOTC and OTC . This will
go a long way in improving traffic enforcement, compliance with
government regulations particularly on emission and drug testing ,
access of transport groups to GFIs and transparency.
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4.3    Foster Fair and Healthy Competition. As the private
sector will likely remain as the engine of growth in the land
transport sector , the government will ensure a level – playing field
among the players and stake holders.

4.4 Establish an Integrated Transport System. Considering
the scarce investment resources in the country , the government
will encourage the players and stakeholders in the land
transport services to complement rather than compete with each
other to ensure greater efficiency in their operations. Inter-modal
and Intra – modal complementation will be promoted .
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4.5     Rationalize Taxation and Cost Recovery. Vehicle taxation
and “user charges “ will be rationalized to ensure that there will be
adequate resources to pay for the cost of infrastructure development
, maintaining the infrastructure and related services , repair and
rehabilitation of the damage on the infrastructure inflicted by the
users, as well to mitigate environmental pollution and traffic
congestion.

4.6     Accelerate the Implementation of the Clean Air Act.
With the worsening pollution in Metro Manila and major urban
center due mainly from motor vehicles.
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                       Goals and Action Programs

                                PUV Modernization         Motor Vehicle Inspection
                                                              System (MVIS)
       PUV Route
      Rationalization



                              Safe, Modern, Efficient              Clean Emission,
Transport Interconnectivity                                       Clean Air program
   Inter-Modal Terminal        and Environmentally                     (PETC)
         Program                 Sustainable Land
                                    Transport
                                                                 Transport Security
                                                                      Program
    Road Safety Program

                              Transport Cooperative Conversion
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MEDIUM - TERM PHILIPPINE LAND TRANSPORT ACTION PLAN
                      ( 2005 –2010 )
               Goals and Action Programs



  Road Safety                   PUV Modernization




                 SAFE LAND TRANSPORT




    Transport
                                           MVIS
    Security
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                         ( 2005 –2010 )
                  Goals and Action Programs




PUV Route Rationalization                   PUV Modernization




                     Modern and Efficient
                       Land Transport

                                               Transport Cooperative
     Transport                                       Program
 Interconnectivity
                             MVIS
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                     ( 2005 –2010 )

                  Goals and Action Programs


Clean Emission,                          PUV Modernization
   Clean Air
   Program

                   ENVIRONMENTALLY
                      SUSTAINABLE
                    LAND TRANSPORT




 MVIS                         Transport Interconnectivity
                           (Inter-Modal Terminal Program)
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 5.       Action Programs

      5.1 PUV Route Rationalization Program (Buses , Jeepneys and AUVs )

There is a need to rationalize both the bus and jeepney routes. In
view of the illegal use of the “ Bus Flexibility Rule “ that flooded Metro
Manila with excess bus services and the changes in passenger trip
patterns due to the operation of the LRT and the MRT. This would
require the restructuring of routes and cleansing of the LTFRB
franchise records.
The rationalization program will correct the out-of-line bus operation
since bus routes will be restructured after considering the location of
garages/terminals of public utility vehicles. The program will address
illegal use of franchises (“kabit” operation) since franchises shall be
modified and shall only be issued to cover operation of serviceable bus
units.
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Therefore, operators with excess franchise but without actual
units operation and who are “leasing out” portion of their franchise
shall now be disallowed in the program. Authorized units will be
limited to operational units.

Upon rationalization of routes, whereby demand and supply
are considered, the said practices will be corrected. Thus,
correcting bus and jeepney supply and demand is also
expected to promote road safety.
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The establishment of public transportation routes and the
corresponding modes of services will be based on passenger
demand patterns and characteristics, road networks configuration,
corresponding road function, traffic capacities and reasonable
profits for operation.


Lead Agency    :       LTFRB
Members        :       DOTC / OTC
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 5.2 PUV Modernization Program
There is a need to formulate a new modernization program that will
remove “ rolling coffins” off our roads. This program will take in to
consideration the Safety Belt Law, Accessibility Law, Clean Air Act
of 1999 and the implementation of an integrated Motor Vehicle
Inspection System (MVIS) in the Country.

 Towards this end, DO 96-963 as amended by Department Order
2002-30 which provides that buses, mini-buses, shuttle buses
should not be more than 15 years of age while 10 years for school
buses and FilCabs, will be revisited to come up with a more doable
scheme.
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5.3 Clean Emission , Clean Air Program ( PETCs)
The establishment of Private Emission Testing Centers (PETCs) is
an interim program and a stop gap measure prior to the full
operation of the expanded MVIS project catch up plan. PETCs
commissioned by the Government through accreditation by the
DTI and authorization by the DOTC/LTO are authorized to conduct
regulatory test independent from the Government testing function
being pursued by several LTO MVIS Centers.

The mandatory emission test prior to renewal of registration
requirement is mandated by the Clean Air Act.
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The Clean Emission , Clean Air Program seeks to strengthen the
monitoring of the operations of PETCs which have been marred by
the proliferation of unauthorized (fake) inspection certificate of
emission compliance (CEC), non-inspection or non-appearance of
vehicles at LTO or PETC, and fraud inspection.


This will be undertaken by the PETC Monitoring Committee
created under the DENR- DTI - DOTC Joint Administrative Order
No.1, Series of 2003 , that has been tasked to regulate and ensure
the integrity of the emission testing program with the involvement
of non-governmental organizations and media to promote
transparency.
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    Towards this objective, the following will be undertaken :
        Higher penalty for violations
        Establish criteria for permanent cancellation
•        Moratorium on PETC accreditation (DTI) and authorization (LTO)

        Establish PETC in areas lacking the required
         emission testing center
        Re-engineer the PETC Monitoring System by
         beefing up personnel, increasing the budget for
         operations and inviting NGOs to join monitoring team
        Lead Agency    :       DOTC
        Members        :       LTO/OTC
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                           ( 2005 –2010 )

5.4   Motor Vehicle Inspection System (MVIS) Program


 The implementation of a nationwide MVIS to ensure compliance with
 the standards of roadworthiness, safety and emissions is mandated
 by the Clean air Act of 1999, which required the DOTC to commence
 the MVIS implementation not later than January 2003 in Metro
 Manila, and 6 to 18 months thereafter, in other parts of the country.

 DOTC would have complied with the deadlines under the CAA had
 not its Build, Own and Operate (BOO) privatization plan for a
 nationwide MVIS been deferred by the Investment Coordinating
 Committee (ICC) in June 2003.
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To cushion the impact of the deferment of the MVIS nationwide
privatization project, a study conducted by the Asian Development
Bank proposed a “catch-up plan” calling for the privatization of
the government MVIS through a bidding process, where the
private sector will undertake the rehabilitation, operation and
maintenance of the facilities.
Considering the various reservations on the ADB study, the DOTC
and LTO will be drawing up an alternative scheme whereby the
Motor Vehicle User’s Charge( MVUC) funds will be utilized to
repair and rehabilitate the existing MVIS facilities in lieu of the
privatization route as proposed in the study.

 Lead Agency     :        LTO
 Members         :        DOTC/LTFRB/OTC
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  5.5   Integrated Transport Terminals Program

Under this program, Intermodal terminals will be established in the
north and south of Metro Manila to serve PUVs plying the provincial
routes primarily to decongest traffic in the metropolis.

With regard to the North Corridor, the Investment Coordination
Committee-Cabinet Committee (ICC-CC) in its 02 March 2005
meeting has approved the Northern Integrated Transport Terminal
Complex (NITTC) project for the conduct of Swiss Challenge
subject to DOTC confirmation of the following:
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 Policy on banning provincial buses in Metro Manila

 Designation of NITTC as the central terminal of public land
  transport vehicles north of Metro Manila

No conflict in existing and future policies considering other
 transport projects

• ICC-TWG suggested provision on lease arrangement in the Lease
   Agreement between the Lessor of the land and the private
   proponent

• ICC requisite documents (MMDA endorsement and ECC)
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With respect to the South corridor, the DOTC, PEA and Pasay
City government will be signing the implementing agreements this
April 2005 to fast track the establishment of the South Terminal at
the PEA Reclamation off Roxas Boulevard.



 Lead Agency     :        DOTC
 Members         :        LTFRB/OTC
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                           ( 2005 –2010 )

5.6    Road Safety Program


With the Philippines tagged as one of the world’s most dangerous
places to travel, there is a need to improve road safety in the
country in line with our commitments and standards in the ASEAN
and ADB.
While the Philippine Road Safety Action Plan , modeled on
successful national and local plans in many countries, has been
formulated last year under the auspices of the ADB, funding
constraints have severely hampered its full implementation.
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With the limited funding to implement the proposals/activities
identified in the plan, the Road Board will be enjoined to allocate
a sufficient amount from the 7.5% collection of the Road
Infrastructure Safety Budget of the Motor Vehicle User's Charge
for the National Road Safety Council (NRSC) to address urgent
road safety concerns. There is also a need to amend the IRR of
the MVUC to include the education and enforcement aspect that
will address the concerns of road users.


Lead Agency     :       LTO
Members         :       DOTC/LTFRB/OTC
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5.7    Transport Security Program
The 2005 Valentine Day bombing accentuated the need to
strengthen security particularly in the vulnerable segments of the
land Transportation System. The Office of Transport Security
(OTS) of DOTC is in the process of formulating , developing and
eventually implementing a National Security Program for Land
Transportation , Rail System and Infrastructure.

The government will adopt the relevant land transport security
measures being formulated by the ASEAN. These measures are
designed to prevent, mitigate and contain transport security
problems.
  Lead Agency      :       DOTC
  Members          :       LTO/OTC
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5.8 Transport Cooperative Conversion Program

Transport associations will be encouraged to convert themselves
into cooperatives to empower their organization and enhance
access to credit facilities of government financial institutions.
Stability in operations is also achieved as transport cooperatives are
prohibited from participating in strikes and similar mass actions.

The Office of Transportation Cooperatives (OTC) is the lead agency
in the implementation of this program. From eighty nine (89)
transport cooperatives (TCs) in the eighties, OTC was able to
promote the transport cooperative program in various regions of the
country. To date, statistics show that there are 750 TCs organized
and accredited by OTC.
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The aggregate nationwide membership, consisting of small
operators, drivers and allied workers, totals 900,500(603,851 in the
provinces and 296,649 in Metro Manila) while the estimated number
of vehicles totals 77,831 units comprising of jeepneys, buses, mini-
buses, taxis, tricycles, cargo trucks, AUV/vans, Multicabs and even
air/water crafts.

Various high impact projects, including livelihood ,socialized health
insurance, loan assistance, housing and vehicle acquisition projects
will be strengthened and expanded to attract more transport groups
to go the cooperative route.

Lead Agency      :       OTC
Members          :       LTFRB/DOTC/LTO
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5.9 Rationalize the Operations of Indigenous Transport Services

 There is a need to regulate the operations of new forms of land
 transport services that have evolved into unsafe vehicles which
 invariably fail roadworthy tests and standards.

 From tricycles , a variety of motorcycle-based vehicles have
 mutated into more dangerous and accident-prone transport
 services to meet peculiar needs of commuters, particularly in
 rugged and mountaineous areas unserved or underserved by any
 mass transport service. “ Habal - Habal “ and “ Skylab “ are now
 popular alternative vehicles in some areas of Mindanao.
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The regulation, including possible franchising of the operations of
these indigenous transport services will be strengthened in
coordination with the local government units which have been
mandated to grant franchises to tricycle and variants


  Lead Agency      :       DOTC
  Members          :       LTFRB/LTO
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6. Institutional Framework

To ensure the effective implementation of this plan , there is a need
to strengthen the capability of the key agencies that play a critical
role in the coordination , execution and monitoring of the plans
action programs.
6.1 Department of Transportation and Communications . The
DOTC, through       the Office of the Undersecretary for Land
Transportation shall be responsible for:
  6.1.a Policy formulation relative to Vehicle Registration , Driver’s
        Licensing and Enforcement of Traffic Law and Regulations.
        The said function is being dispensed by LTO.
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6.1.b Conduct of planning functions for LTO, LTFRB and OTC.

6.1.c Budget Programming for LTO, LTFRB and OTC requirements
      including infrastructure and project implementation activities.

6.1.d Monitoring the implementation of all projects being undertaken
      by LTO, LTFRB and OTC.


6.2 LTO
6.3 LTFRB
6.4 OTC
THANK YOU

								
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