The House of Representatives has recently approved a bill regulating the operation of motorcycles as public utility vehicles, paving the way for the legalization of motorcycle taxis.
House Bill 10424, or the proposed “Motorcycles-for-Hire Act,” hurdled the Lower Chamber with a 200-1-0 vote.
The measure aims to allow motorcycles to transport passengers and goods, including parcels and mail and seeks to amend the Land Transportation and Traffic Code, which currently prohibits the use of two-wheeled vehicles for public transport.
Under the proposed law, motorcycles-for-hire must be registered with the Land Transportation Office (LTO) and meet roadworthiness standards, while the Land Transportation Franchising and Regulatory Board (LTFRB) will regulate their operation in areas without digital platforms, with the number of units determined by local government units.
The bill outlines requirements for obtaining a franchise, including Filipino citizenship, financial capacity, LTO registration, insurance coverage and a tax identification number.
Motorcycle taxi platform providers and online e-commerce platform providers must register with the Securities and Exchange Commission and comply with specific accreditation requirements.
The measure also imposes a 60 kilometers per hour speed limit for motorcycle taxis.
Meantime, the LTFRB will set fares, surcharges and other fees in consultation with the industry and subject to the Department of Transportation’s approval. Operators and platforms will be held jointly liable for accidents involving motorcycle taxis.