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DESPITE
a small decrease in fuel cost, various transport groups
under the umbrella organization of United Transport
Koalisyon (1-Utak) have lined up to avail themselves of
the funds from “Katas ng VAT” that was announced by
President Arroyo in her State of the Nation Address for
the installation of engines using liquefied petroleum
(LPG) gas in all passenger jeepneys.
Lawyer
Vigor Mendoza, 1-Utak chairman, said a total of 49,920
jeepney operators have signified their interest of
shifting to LPG engines from diesel engines.
Mendoza
said that transport groups under the coalition have
decided to purchase their engines from one supplier to
ensure after-sales service, spare parts availability and
implementation of warranties.
He said
that the operators are looking for a supplier who can
commit to the establishment of an engine assembly and
manufacturing facility in the Philippines, as well as
the creation of some 800 installation and service
centers nationwide.
“This
will not only ensure prompt after-sales support, but
also provide approximately 32,000 alternative job
opportunities to transport workers, assuming that 40
workers would be employed per service center,” Mendoza
added.
Aside
also from ensuring cleaner air on LPG engines, it would
also result in decongesting the streets of urban
centers, specifically in Metro Manila, where drivers and
operators of old jeepneys, instead of changing their
engines, may just opt to retire their jeepneys and just
avail themselves of the alternative employment
opportunities in service centers and other livelihood
projects.
He
explained that although government funding given to
public utility vehicles is not that much, the impact of
the funds on the transport industry and the public as a
whole will be magnified fivefold because of the
additional employment opportunities that the project
will generate, as well as the lower fares that operators
and drivers may now be able to offer as LPG is P20/liter
cheaper that diesel.
Mendoza
is optimistic the government will give the transport
sector easy payment terms and easy processing
requirements for the loans to be given.
He
stressed that funds allotted for the conversion project
are not subsidies because these would be paid back.
“This
can be more likened to pump-priming to create more jobs
and increase domestic demand for goods and services to
sustain development momentum even during these difficult
times, while helping the environment and increasing the
income of transport workers.”
“The
seeds that will be planted today will be enjoyed years
from now. With the shift to cleaner and cheaper fuel,
the Philippines will join the ranks of other Asian
countries that have early on made the shift and are now
enjoying the benefits from such decision, like Hong
Kong, Singapore and Thailand,” Mendoza added. |