LTFRB issues guidelines for online taxi services

To protect the interest of passengers, the Land Transportation Franchising and Regulatory Board (LTFRB) will now require transport firms who offer their services online to first secure a certificate of public convenience and a franchise before operating in the country.

LTFRB Chairman Winston Ginez said he has issued several memorandum circulars that will place firms like Uber and Grabtaxi in the fold of the law.

“This will provide the regulatory framework so that in case of any issue, negligence, accident and culpability of operators, they will be under the law,” he said in yesterday’s press conference.

The Department of Transportation and Communications (DOTC) said a transport network company vehicle could be any vehicle with no more than seven passengers. A TNC is defined as an organization that provides pre-arranged transportation services using an Internet-based technology application or digital platform technology to facilitate the transportation of passengers using personal vehicles.

Earlier, taxi operators criticized the TNCs, saying they are not regulated and are not paying fees to the government.

Ginez said the TNC operators will be required to pay a non-refundable accreditation fee of P10,000 when the circulars take effect after publication.

He added that LTFRB agents will apprehend TNC vehicles that do not comply with the rules, which include the display of a TNC-accredited driver’s name and photograph, vehicle’s license plate number and the case number issued before a trip is initiated.

A rate structure must also be transparent before a passenger confirms the ride, Ginez said.

He added that applications for these vehicles will have a fee of P510 for the first two units, P70 for all succeeding units, and P10 as legal research fee.

The franchises are valid for one year and are renewable but not transferable.

Ginez said violations may lead to the revocation of franchises. –