Any increase in taxi fare rates should be backed by a study and consultations with stakeholders, a commuters’ welfare group said yesterday.
“Taxi drivers have to be consulted. If the reason is to give more income, by all means, that’s good. But an increase in taxi fare may cost them passengers,” said Ariel Inton, founder of Lawyers for Commuters Safety and Protection.
Inton, a former board member of the Land Transportation Franchising and Regulatory Board (LTFRB), said raising the fare rates may lower the competitive edge of taxi operators against ride-hailing services firms like Uber and Grab.
While Uber and Grab charge higher fare rates, Inton said the two firms offer promos that lower their rates compared to those charged by taxis. He said this would mean commuters will choose Uber and Grab over taxis.
The LTFRB explained that while the flag-down rate will remain at P40, the running fare will be raised from P3.50 to P5.50 for every 300 meters and per waiting time on passengers.
LTFRB spokesperson Aileen Lizada said this would make taxis more competitive since it will provide them with bigger income.
But Inton said any fare rate hike should be backed up with a study.
“How was the P2 increase computed? Is this backed up by study? Will it really increase the driver’s income? And how will it impact the commuters?” Inton said.
He said the LTFRB should also look into how to lower expenses for drivers, who complain about the boundary set by their operators.
Inton said a review of the boundary system should be done especially since the LTFRB has no jurisdiction over this.
The Cebu Integrated Transport Service Cooperative (Citrasco) welcomed LTFRB’s proposal.
“It is already long overdue. Even if it took long, we are happy that this will be given to us eventually,” said Citrasco President Ryan Benjamin Yu.
The LTFRB said higher fare rates will go hand in hand with stiffer penalties for violators.
The sanctions consist of suspension of driver’s license for three months on the first offense, six months for the second offense and cancellation of license on the third offense.
“Hopefully, with the increase of penalties and increase of their income, they won’t be (errant) taxi drivers. Admittedly, there are some drivers nga nagpabadlong sad gyud (who are hard-headed),” Yu said.