Many of us who drive our own cars or ride motorcycles every day barely understand the struggles faced by those in the Public Utility Vehicle (PUV) sector.

Aside from dealing with soaring fuel prices and expensive vehicle maintenance, many operators also shoulder terminal fees, so-called “S.O.P.” or butaw, registration costs, and a long list of government requirements just to keep their units on the road. One of the biggest hurdles is securing or renewing a Certificate of Public Convenience (CPC), essentially the franchise that allows them to legally operate a PUV.

For many small operators, the process can be both expensive and time-consuming. It has long been an open secret in the transport sector that some CPCs are allegedly being shared among multiple operators, often through fixers, just to avoid the high cost and tedious process of securing legitimate franchises.

Now, the Land Transportation Franchising and Regulatory Board (LTFRB) has removed the requirement for formal hearings in the renewal and extension of PUV franchises, which is a welcome move expected to save operators both time and money.

Under Memorandum Circular 2026-038, operators renewing their CPCs will no longer need to undergo another hearing, provided they remain compliant with the conditions of their existing franchise. In layman’s terms, this means operators will no longer have to spend on hearing-related representations, repeated trips to LTFRB offices, paperwork, and newspaper publication expenses that come with franchise renewal applications.

For many small transport operators, especially jeepney and UV Express operators with limited earnings, these requirements have long been viewed as an added financial burden on top of the costs mentioned above and other daily operating expenses.

According to LTFRB Chairman, Atty. Vigor Mendoza II, renewing a CPC, should not be treated the same as applying for a new franchise since operators had already proven public need for their routes and their qualification to operate.

Earlier, the agency also removed the requirement to publish notices of hearings in newspapers of general circulation under Memorandum Circular 2026-035. Depending on the newspaper and size of publication, operators previously had to spend thousands of pesos just for these publication requirements.

The LTFRB expects franchise renewals to become faster, cheaper, and less burdensome for operators through this new process. The LTFRB also says that the move forms part of the government’s push to streamline transactions under the Ease of Doing Business Act and the LTFRB’s ongoing digitalization efforts.

Operators are now also required to maintain a valid email address, which will serve as the official platform for notices, submissions, and other franchise-related transactions with the agency.