Home / News / LTFRB to open 5,000 new ride-hailing slots, but none for hatchbacks

LTFRB to open 5,000 new ride-hailing slots, but none for hatchbacks

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Metro Manila (CNN Philippines, July 17) — The Land Transportation Franchising and Regulatory Board (LTFRB) said another 5,000 franchise slots for ride-hailing services will be up for grabs later this month.

This follows the 10,000 slots opened in June, which he said was completely filled by operators of transportation network vehicle service (TNVS). So far, the agency has secured a total of 40,000 franchises since 2018. The decision to accredit more drivers for online-based ride-hailing services came during the LTFRB’s meeting with TNVS company representatives on Tuesday.

The regulator, however, insisted that they will still reject applications from drivers using hatchback vehicles, which has been the subject of protests from ride-share drivers.

“The agency reiterated that only hatchbacks that are in the 55,000 master list provided by TNCs (transport network companies) will be allowed to operate until 2021, to operate only in Metro Manila and charge lower fares,” the LTFRB said in a statement on Wednesday. “After 2021, hatchback owners should transition to sedan-type compliant units.”

Members of the Laban TNVS group, composed mostly of hatcback car owners, staged a 12-hour transport strike on July 8 to protest the LTFRB’s apparent discrimination. LTFRB Memorandum 2018-005 allows the use of these compact vehicles until 2021, but the regulator has started deactivating drivers from ride-sharing apps and refused to accept new applicants two years ahead of the deadline, citing safety concerns.

READ: LTFRB to sit down with ride-share drivers after transport holiday

Present during the meeting were officials from transport firms Grab, MiCab, UHop, OWTO, Hype, Aztech, and GoLag, the LTFRB said.

The LTFRB also said that they will conduct regular audits among TNCs to monitor daily operations and track the actual number of active drivers, bookings, and cancellations, especially the supply and demand during peak hours.

Last month, the LTFRB used an online registration system to accept driver applications. Aside from personal information, the regulator also requires the submission of vehicle data, and only accepts cars which have been used for less than three years.

The transport regulator added that they are allotting an extra three to four days per week plus two Saturdays each month just to clear the backlog for hearing TNVS applications.

Currently, the LTFRB accredits four-door sedans, compact multi-purpose vehicles (MPVs), action utility vehicles (AUVs), and sport utility vehicles (SUVs).

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