LTFRB-7 requests DOTC to lift moratorium on tourist buses

The Land Transportation Franchising and Regulatory Board (LTFRB-7) has submitted a request to the Department of Transportation and Communication (DOTC) to lift the current moratorium of giving franchise to tourists’ bus facilities in Cebu, in order to accommodate the growing demand for such service.

LTFRB- 7 regional director Ahmed Cuizon hopes that the request will be granted at least within the year, saying Cebu’s total seating capacity for tourist buses is only at 3,000 at one time.

At present, franchise of any commercial transportation including taxi, buses, among others is being freezed via a moratorium issued by DOTC sometime in 2004.

According to Cuizon, the Department of Tourism (DOT-7) regional director Rowena Montecillo has requested his office to ask for a temporary lift of the tourist buses moratorium, which is meant to compliment the growing number of tourists needing this facility.

Cebu is positioning as the MICE ( Meetings, Incentives, Conference and Exhibitions) destination in the Philippines, this has to be supported with larger number of seating capacity of tourist buses, said Cuizon.

This year alone, Cebu will be hosting another ASEAN ( Association of Southeast Asian Nation) Ministers’ conference towards the last quarter. This, aside from series of MICE events that will be held in Cebu almost every quarter, if not in every month or two.

In fact, Cuizon said there are even hotels that frequently called his office asking due to lack of tourist bus available in Cebu. Thus, most hotels, and tour operators often resort to getting rented vans or what they call as “colorum”.

Aside from supporting the growth of the MICE events being held in Cebu, and serve the growing tourists, Cuizon said this request could also give business opportunities to entrepreneurs to take advantage of in putting up tourist bus businesses in Cebu or other cities within the Central Visayas, like Bohol, Negros and Siquijor.

“Our capacity for tourist buses is not enough right now. The 3,000 seating capacity used at one can’t accommodate especially if we host events that have more than three thousand delegates,’ said Cuizon.

New operators are encouraged to grab this business opportunity, although, Cuizon said some existing tourist bus and coaster operators may opt to increase their number of franchises.

Meanwhile, the Hotel, Resort, and Restaurant Association of Cebu (HRRAC), together with the DOT- 7 are now working towards planning more marketing programs in further developing the MICE market, as Cebu’s potential is huge, considering its ability to attract business related events, while offering the best leisure activities.

Based on DOT data, the country’s total yearly foreign visitor arrivals is around 3.5 million as of middle of 2011, with total receipts of about US$ 25 billion, partly because of MICE.

The Philippines’ share of the global MICE market is growing along with the increase in its high-end room accommodation capacity, convention facilities and other related physical infrastructure.

Foreign experts believe that the Philippines, specifically Cebu has a huge potential to take part of the US$52 billion MICE market in the world.

Vienna in Germany is now the hottest destination for MICE marketing, followed by Barcelona. Philippines’ warmth and amazing hospitality could be the country’s advantage of the popular MICE destinations in the world.

However, foreign experts warned that aside from promotion and building relationship with front liners in the world’s MICE market, the Philippines also has to work hard in establishing good infrastructure, and providing right facilities in servicing the MICE market.