The Land Transportation and Regulatory Board (LTFRB) on Monday issued a show cause order against the two concessionaires of EDSA busway for low deployment of buses the caused long lines at busway stops.
“We have to call the attention and direct the two consortiums to explain why there is a low deployment of these units,” LTFRB Chairman Martin Delgra said in a virtual briefing, referring to EES Consortium and MMC Consortium.
Delgra said the agency may cancel or suspend their permits if found violating their contractual obligations with the government.
“Nakita namin na nag-average lang sila ng less than 150 buses for the two consortiums (We saw that they only averaged less than 150 buses for the two consortiums.),” he said.
Delgra also said that LTFRB is looking at the non-payment of salaries of the drivers by their respective operators.
As of Oct. 15, the remaining payables of the government to ES Consortium amounted to P29.20 million from P137.38 million total obligations.
For MMC Consortium, the remaining payable of the government amounted to P21.42 million from P107.72 million.
Delgra said the agency disbursed nearly P4 billion as of Oct. 15 for its Service Contracting Program under the Bayanihan Act 2.
“LTFRB aims to completely disburse all accounts payable by Oct. 31,” he said.
Under the General Appropriations Act (GAA), the government disbursed P343.48 million out of the P1.40 billion payables based on trips already served by operators.
