The Land Transportation Franchising and Regulatory Board (LTFRB) has approved 1,500 slots available for Cebu for Transport Network Vehicle Services (TNVS) applications from the previous 500 allocation.
The LTFRB has released a new Memorandum Circular 2018-005 on Monday, amending the previous MC 2018-03, which has expanded their common supply base from 45,700 units to 66,750 applications nationwide to secure the public demand of transportation services.
“Taking into account factor such as unserved demand, color coding and churning rate peculiar to TNVS operation all for the paramount interest of the riding public,” the memorandum states which is approved by LTFRB Chairman Martin Delgra III.
In LTFRB in Central Visayas, there are at least 740 applications for the TNVS permit recorded in the region.
LTFRB-7 Regional Director Ahmed Cuizon said that they are still implementing a “first come, first served” policy, which prioritizes applicants who applied earlier.
“As Attorney (Aileen) Lizada said, we will entertain only up to the cut-off period of July 2017 when Uber and Grab finally stopped uploading TNVS operators into their application system,” Cuizon said.
He added that, despite the increase of number of slots allocated for TNVS vehicle units to operate in Cebu, operators who are planning to apply for the applications should think twice in buying a new car for TNVS purposes.
“There is no room for new operators to suddenly buy new cars again in the hope of fitting into the 1,500 (slots),” Cuizon said.
Also provided in the new memorandum is for accredited hatchback units be allowed and accepted subject to a transition period of three years, in order to recoup their investments.
Hatchback units are only allowed to operate in Manila area and shall charge the lower fare rates approved by the LTFRB.
The applicants are also allowed to replace and substitute their accredited vehicles with year models from 2012 and earlier within 90-day from the effectivity of the memorandum circular.
The LTFRB will open applications for franchise on March 5.