‘Plate shortage due to disallowance’
The Land Transportation Office claims the shortage in license plates was caused by a June 2015 Notice of Disallowance from the Commission on Audit.
LTO spokesman Jason Salvador said his agency is running out of plates because the CoA notice stopped them from spending for their license plate standardization program.
“We were left with no funds to pay our plate supplier,” Salvador said.
The commission had disallowed the P3.8-billion in procurement transaction between the LTO and the Dutch-Filipino consortium—PPI-JKG Philippines Inc.—for irregularities, specifically for violatingprocurement law.
Salvador said the LTO pushed through with the standardization program despite the disallowance. “Since we believe [it is important], we talked to our supplier,” he said in a radio interview. “But there came a point that our supplier could no longer accommodate our request since its business operation is already being affected by the non-payment.”
He added that a shipment of 600,000 car plates have remained unclaimed because their importer could not pay the mandated duties.
The LTO and the Department of Transportation and Communications have asked the CoA to cancel its notice of disallowance.
Salvador also appealed to motorists for their patience. “We understand how our motorists feel about the delay; we seek [their] understanding.”