LTFRB revives fixed TNVS pick-up rate amid cost concerns

INQUIRER.net stock image MANILA, Philippines — The Land Transportation Franchising and Regulatory Board (LTFRB) on Sunday said it has revived the implementation of fixed pick-up fares for Transport Network Vehicle Service (TNVS) units over concerns about the sector’s operating costs. According to LTFRB Chairperson Vigor Mendoza II, the revival of LTFRB Memorandum Circular 2025-058 aims to serve as a “middle ground” in response to complaints from both the TNVS sector and passengers. The circular provides for fixed pick-up fare rates following issues raised by commuters over unauthorized pick-up charges. Article continues after this advertisement READ: LTFRB revises TNVS fare rules ahead of surge pricing cap “While commuters’ welfare is a priority, part of our mandate is also to ensure that the concerns of those in the public transportation sector are heard. In this case, the revival of the pick-up fare implementation will serve both ends,” Mendoza said in a press release. The circular, dated Dec. 17 last year, allowed ride-hailing services to charge passengers once a booking is accepted instead of from the pickup point. The LTFRB noted the operational challenges faced by TNVS drivers in configuring the platform and dealing with traffic in Metro Manila. The circular was effective from Dec. 20, 2025, to Jan. 4, 2026, during the holiday season. The circular provides the following fixed pick-up fare rates: Hatchback/subcompact: P24 within a one-kilometer radius; P72 within a three-kilometer radius; P96 within a four-kilometer radius; and P120 within a five-kilometer radius. Sedan: P26 within a one-kilometer radius; P52, P78, P104, and P130 up to a five-kilometer radius. AUV/SUV: P29 within a one-kilometer radius; P58 within a two-kilometer radius; and P145 within a five-kilometer radius. Under the agency’s new Memorandum Circular 2026-059, the revival of the earlier circular was deemed reasonable “to prevent service shortages, ensure the availability of rides across all areas, and protect the riding public from unauthorized or improvised pick-up charges.” Article continues after this advertisement READ: LTFRB sets price cap on online booking fees for taxis The agency also noted that reviving the fixed pick-up rate prevents the collection of pick-up fares beyond the five-kilometer radius. It added that Transportation Network Companies (TNCs) are not allowed to collect any share or service fee from the pick-up fare. Article continues after this advertisement “TNCs are directed to limit the matching radius to five (5) kilometers to minimize passenger waiting time and operational costs. No pick-up fare beyond the five (5)-kilometer radius amounts above shall be imposed or collected,” the circular read. The circular also instructed TNCs to: Your subscription could not be saved. Please try again. Your subscription has been successful. Clearly and separately show the pick-up fare in the fare breakdown displayed to the passenger before booking confirmation; Inform the passenger of the total fare, including the pick-up fare, before the ride is accepted; and Reflect the pick-up fare as a distinct line item in the electronic receipt and/or trip summary issued to the passenger upon completion of the trip. /mcm