LTFRB approves fixed pickup fare system for ride-hailing services during holiday season

Breaking News LTFRB Approves Fixed Pickup Fare System for Ride-Hailing Services during Holiday Season

As the holiday season approaches, the Land Transportation Franchising and Regulatory Board (LTFRB) has taken a crucial step to support ride-hailing drivers. In response to concerns from Transport Network Vehicle Service (TNVS) drivers and studies on travel time in Metro Manila, the agency has approved a fixed pickup fare system for TNVS.

Understanding the Need for Change

A report from the Metropolitan Manila Development Authority (MMDA) revealed that vehicle speeds on Edsa drop to a mere 1 kilometer per hour during peak hours, translating to about five minutes per kilometer. Meanwhile, a House of Representatives report showed that average travel time for 10 kilometers in Metro Manila is 25 minutes and 30 seconds, worsening to 28 minutes during morning rush hour and 34 minutes in the evening. These findings highlight the need for a fair compensation system for ride-hailing drivers.

How the Fixed Pickup Fare System Works

Under the new system, ride-hailing fares will start counting from the passenger's booking acceptance, with the distance from the driver's location to the pick-up point included in the chargeable fare. The pick-up fare will be capped within a five-kilometer radius and charged at a fixed rate per kilometer, varying depending on the type of TNVS vehicle (subcompact, sedan, AUV/SUV, or premium).

Benefits for Drivers

The pick-up fare is added on top of the fare from the pick-up point to the passenger's destination, ensuring drivers are fairly compensated. This means that drivers will receive a guaranteed minimum payment per ride, helping them offset travel costs and maintain a steady income despite the holiday rush.

Benefits for Passengers

While the focus is on supporting drivers, passengers can also benefit from this change. With the fixed pick-up fare system in place, they can enjoy a more predictable and affordable experience when using ride-hailing services during the holidays.

Key Takeaways

• The LTFRB has approved a fixed pickup fare system for TNVS to help drivers offset travel costs during the holiday season.
• The system will take effect on December 20, coinciding with a reduction in surge pricing caps by 50 percent.
• The pick-up fare is added on top of the fare from the pick-up point to the passenger's destination, ensuring drivers are fairly compensated.

Conclusion

The LTFRB's decision to introduce a fixed pickup fare system for TNVS is a welcome move that promotes fair compensation and addresses travel costs. As we navigate the busy holiday roads, let's remember that this change is not just about numbers – it's about people. By supporting ride-hailing drivers, we can create a more sustainable and equitable transportation system in Metro Manila.

Call to Action

As you plan your holiday travels, take a moment to thank the ride-hailing drivers who are keeping our streets moving. Their hard work and dedication deserve our appreciation. And remember, with the fixed pick-up fare system in place, you can enjoy a more predictable and affordable ride-hailing experience during the holidays.

Keywords LTFRB, fixed pickup fare system, TNVS, ride-hailing services, holiday season, travel costs, fair compensation.

Edward Lance Arellano Lorilla

CEO / Co-Founder

Enjoy the little things in life. For one day, you may look back and realize they were the big things. Many of life's failures are people who did not realize how close they were to success when they gave up.