TNVS group raises concerns vs LTFRB’s plan to reduce surge fees | ABS-CBN

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TNVS group raises concerns vs LTFRB’s plan to reduce surge fees

TNVS group raises concerns vs LTFRB’s plan to reduce surge fees

Job Manahan,

ABS-CBN News

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Motorists experience bumper-to-bumper traffic along the EDSA-Kamuning Flyover in Quezon City on December 15, 2023. Maria Tan, ABS-CBN News/FileMotorists experience bumper-to-bumper traffic along the EDSA-Kamuning Flyover in Quezon City on December 15, 2023. Maria Tan, ABS-CBN News/FileMANILA – A Transport Network Vehicle Services (TNVS) group on Wednesday raised concerns over the Land Transportation Franchising and Regulatory Board's (LTFRB) plan to reduce surge fees by as much as 50 percent, saying this could "substantially slash their take home pay."

In a statement, TNVS Community Philippines (TCP) said this plan has a huge impact amid the high costs of fuel and heavy traffic in the National Capital Region.

"Maaring malugi ang mga TNVS drivers sa gas, boundary at iba pang gastusin lalo na at mas matagal ang kailangan naming biyayihin para sa parehas na distansya dahil sa traffic," said TCP.

"Nang dahil sa surge fee na aming nakukuha nang buo, kami ay nakakabawi mula sa mga dagdag na gastusin ngayong kapaskuhan. Ang modelo at ceiling ng surge pricing ay alinsunod sa mga regulasyon na nailathala na ng LTFRB," it added. 

The group said it is seeking a dialogue with the LTFRB on the matter and study the proposal carefully.

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"Nawa'y maintindihan ng mas nakararami na hindi lamang ang kapakanan ng mga pasahero o ang interes ng TNCs ang dapat binibigyang pansin, kundi pati na rin ang sapat at patas na kabuhayan para sa mga TNVS drivers," said the group.

TNVS firms earlier explained that the surge fee is computed based on the traffic situation, the number of available drivers, and the demand, among others, according to LTFRB Chairperson Teofilo Guadiz III.

In a message to ABS-CBN News, Guadiz said they might revisit the algorithm used by ride hailing apps following "clamor from the public."

"The Board decided not only to review the surge fee, but likewise the flag-down fee. This is a result of the public clamor for the agency to review the rates," the official said.

"The public feels that the TNVS seemed to be taking advantage of the shortage of available public transportation during the holiday season," he said.

Guadiz said they commiserate with the sentiments of TNVS drivers.

"However the LTFRB is not created by the law to favor any single party, but the public in general. The agency has to exact a balancing act between the interest of the public and that of the TNVS drivers," he said.

LTFRB has yet to release a final proposal on the matter, or whether or not this would push through amid the holiday season. 

The LTFRB recently added 5,000 slots for ride-hailing services in Metro Manila to accommodate the expected increase in demand this holiday season and reduce surge rates during rush hour.

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