Eastern Petroleum Corporation has tied up with Russian firm Gaz Group on deployment of the latter’s light commercial vehicles in the Philippines.
The agreement gives Eastern Petroleum had been granted the rights “for distribution and after-sales service of GAZ’s light commercial vehicles,” including its Gazelle Next 17-seater minibus and Gazelle Next City Line 20-seater bus.
Intended to replace aging PUVs, the program’s planned first stage is meant to retire at least 200,000 units of jeepneys and vans. At the same time, at least 150 new routes will be launched through 2023.
“Partnership with GAZ Group allows to aggressively participate in public transport modernization that badly needs private and public sector investments,” Eastern Petroleum Group Chairman & CEO Fernando Martinez said in a statement.
“More than 200,000 units of the commonly used mode of transport called Jeepney and Vans are due for immediate replacements in the next five years,” he added. “The GAZ Group products fully comply with the environmental standards of the Philippines and also meet all requirements for comfort and safety.”