Moto taxis get greenlight for Central Luzon

Moto taxis get greenlight for Central Luzon | Daily Tribune

Motorcycle taxis are now legally operating in Central Luzon and CALABARZON regions, government regulators announced.

This comes after the Land Transportation Franchising and Regulatory Board (LTFRB) and the Land Transportation Office (LTO) issued a joint circular on 11 October 2024, granting four accredited motorcycle taxi companies -- Para Xpress, Maxim, Dingdong and GrabBike -- permission to operate in the two regions.

LTFRB chair Atty. Teofilo Guadiz III said that the move is seen by policymakers as healthy for competition and beneficial to commuters.

Each company is initially allotted 2,000 rider slots, subject to adjustment based on demand. The allocation includes riders already operating in Metro Manila, which will maintain its current cap of 45,000 riders.

The move is part of a broader effort to regulate the motorcycle taxi industry, which has seen significant growth in recent years.

Congress has been working on legislation to permanently legalize the service, and a study by the LTFRB Technical Working Group has concluded that motorcycle taxis can help alleviate traffic congestion and provide a convenient transportation option.

To recall, on 25 November 2024, Guadiz affirmed that the new MT slots were for Central Luzon and CALABARZON only. The MTs in Metro Manila has remained steady at 45,000 since three years ago.

An LTFRB TWG study, “Motorcycle Taxis in the Philippines: A Comprehensive Analysis for Permanent Integration,” completed early this year and submitted to Congress revealed that MTs service an estimated 370,000 commuters daily nationwide.

The study concluded that MTs “have the potential to alleviate traffic congestion by reducing the number of vehicles on the road, thus improving traffic flow” and that establishing MTs “as a permanent mode in the country's transportation system is both feasible and advantageous.”

In July, the House of Representatives passed House Bill Number 10424, which allows the operation of motorcycles as common carriers for the transportation of passengers and goods, including parcels and mail. The Senate has yet to pass its version of the measure.