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Dapat gobyerno: DOTr eyes revision of order allowing TNCs to set own fares

MANILA – The Department of Transportation is rushing to amend a 2015 order that allows transport network companies (TNCs) to set their own fares, an official of an attached agency said Friday.

A draft is up for review with Secretary Arthur Tugade when he returns from Cebu where he led the inauguration of the Mactan-Cebu International Airport Terminal 2, said Aileen Lizada, member of the Land Transportation Franchising and Regulatory Board.

"Talaga hong minamadali na ni Secretary Tugade repasuhin 'yang department order na 'yan kasi hindi ho dapat TNCs ang nagse-set ng fares. Dapat po gobyerno," Lizada told DZMM radio.

Department order 2015-011 states the fares for transportation network vehicle services are "set by TNC (transport network companies), subject to oversight from the LTFRB in cases of abnormal disruptions of the market."

"As long as DO is in place, they can have a different interpretation of it and iba-ibang formula ang ilalagay. Oversight lang kaming parating titingin-tingin," said Lizada.

The 3-year-old department order was the basis for ride-hailing company Grab's insistence on the legality of its P80 minimum fare, which a lawmaker alleged was illegal because there was no public hearing on this.

Grab Philippines Public Affairs Head Leo Gonzales said only a handful of users were affected by the minimum fare, but it had become more prevalent after regulators suspended the company's P2 per-minute charge.

The firm, one of the biggest ride-sharing apps in the country after it merged with rival Uber, has a pending fare hike petition before the LTFRB.

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