LTFRB summons 19 ride-hailing firms over unimplemented fare hike

The Land Transportation Franchising and Regulatory Board said Thursday it issued show cause orders against 19 transport network companies for allegedly failing to implement the recently approved fare increase for ride-hailing services.

The LTFRB acted after receiving complaints from Transport Network Vehicle Service drivers that some platforms continued using the old fare structure despite the new rates taking effect on 28 September.

Under the approved adjustment, the TNVS base fare increased to P65 from P45 for sedans, P75 from P55 for AUVs, P55 from P35 for hatchbacks and P165 from P145 for premium vehicles.

LTFRB acting Chairman Greg Pua Jr. said the fare increase was intended to help drivers absorb higher operating costs, including fuel expenses.

“Some of our fellow citizens may wonder why we still need to call these TNCs and why we cannot simply be thankful that TNVS fares are not being increased,” Pua said.

“For everyone’s information, it is the TNVS partners who shoulder the expenses for gasoline and diesel, and not the TNCs. So, when the fare increase is not implemented for them, they are the ones who will be affected, and not the TNCs,” he added.

Pua said failure to implement the higher fares defeats the purpose of the adjustment, which was intended to provide relief to public transport operators and drivers.

In the show cause orders, the LTFRB directed the companies to explain why their operating authority should not be suspended or canceled for allegedly defying the fare order.

The hearing is set for 7 October.

The LTFRB warned that failure to appear and submit an answer would be considered a waiver of the companies’ right to be heard and could result in penalties.