LTFRB allows entry of new transport companies

Emmanuel Tupas – The Filipino Star

November 17, 2021 | 00h00

MANILA, Philippines – The Land Transportation Franchising and Regulatory Board (LTFRB) has lifted the moratorium on the entry of transportation network companies (TNCs) into the ride-hailing industry.

In a circular memorandum dated November 12, he said he decided to give other companies the opportunity to apply to invite healthy competition among TNCs in the market for transport network vehicle (TNVS) services.

“By uniformly applying existing board policies, while giving new entrants the opportunity to apply, thus inviting healthy competition among TNCs, the moratorium on accepting applications for accreditation as TNCs is lifted. “said the LTFRB.

LTFRB chairman Martin Delgra III and board members Joel Pernito and Sherwin Mylil Begyan signed the circular memorandum.

The transport regulator suspended the acceptance of new TNC requests on August 10, 2018 after receiving a “considerable number of requests”.

However, it decided to lift the moratorium after finding that a single TNC, which it did not name, “dominated the market in terms of bookings and ridership” while other companies “appeared not to. be operationally capable of assuming responsibilities as a TNC.

Applicants must pay an accreditation fee of P 30,000. Approved applications will last for two years and may be suspended if the TNC violates LTFRB policies.

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