The Land Transportation Franchising and Regulatory Board (LTFRB) has reinstated a fixed pick-up fare system for ride-hailing services to address rising operational costs and ensure fair pricing.
Under Memorandum Circular 2026-059, transport network companies (TNCs) are prohibited from charging separate fees for pickups, bookings, or convenience, with all charges clearly itemized in trip summaries.The fare caps vary by vehicle type: hatchbacks have a P24 cap within one kilometer, while premium vehicles reach up to P289 for five kilometers.
LTFRB Chairman Vigor Mendoza II emphasized that this move balances drivers' concerns about unfair surcharges with commuters' complaints of unregulated fees.The regulation mandates that TNCs display pickup fares before ride acceptance and reflect them distinctly in electronic receipts.
This decision aims to create transparency and fairness in the ride-hailing industry, ensuring both service providers and passengers are protected from exploitative practices.
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