House to consider new legislation regulating ride-share industry fares

ride hailing TNVS 040519 - House to consider new legislation regulating ride-share industry faresMACROVECTOR

A LEGISLATOR has filed a bill seeking to regulate the fare rates of Transport Network Companies (TNC) and Transport Network Vehicles Service (TNVS).

Deputy Speaker Evelina G. Escudero, who is also the representative of the First District of Sorsogon, filed House Bill 5748 on Dec. 9, which if passed will be known as the Transport Network Vehicle Service and Transport Network Companies Regulation Fare Rates Act of 2019.

Under the bill, TNCs and TNVS will be subject to the “full regulation and supervision by the Land Transportation Franchising and Regulatory Board (LTFRB), specifically in the standardization of fare rates, system of refund in case of overcharging and adjustments of standardized fare rates.”

“…this proposed measure can serve as a viable platform to discuss and deliberate with the end view of striking a reasonable balance between the rights and interests of the riding public, on one hand, and the various TNVS and TNCs, on the other.” Ms. Escudero said in the bill’s explanatory note.

Asked to comment, Brian Cu, the Country Head of Grab Philippines, told BusinessWorld via text message that there is already “one regulated fare that all TNCs have to follow,” referring to LTFRB’s fare matrix.

Under the LTFRB’s Memorandum Circular 2019-036, Grab is allowed to collect P40 as base fare, fifteen pesos for each kilometer traveled, two pesos per minute of waiting time, and a surge rate of up to two times. It is also allowed to charge P80 as a minimum fare for short distances.

Other bills that seek to regulate TNVS and TNCs are House Bills 1260, 1538, 3690, 4024 and 4725. All bills are currently pending with the House Committee on Transportation. — Genshen L. Espedido

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