Uber seeks 110% fare increase from LTFRB

Uber Philippines on Thursday filed a petition before the Land Transportation Franchising and Regulatory (LTFRB) to increase fares of the app-based ride-hailing service on the back of higher excise tax on fuel products.

Uber is seeking a 110 percent increase in fares, subject to adjustments in relation to peak and off-peak hours.

LTFRB Board Member Aileen Lizada said in a text message to reporters that the board has received the petition.

In a statement posted on its website, Uber said it is seeking a higher fare of P12 per kilometer for uberX from the current rate of P5.70.

It said the adjustment will be subject to occasional decreases of up to P9 during off-peak hours.

The base fare of P40 and time charge of P2.00 per minute will remain the same.

“We are doing this to ensure driver partners earn sustainably. We are committed to investing in the business in the Philippines so riders and drivers continue to get the service they are accustomed to,” Uber Philippines said.

“However, the costs that driver partners have to bear to maintain their vehicles is projected to increase due to several factors, including requirements under the Omnibus Franchising Guidelines (OFG) to further improve safety and quality of service, increasing fuel prices, and new excise taxes on petroleum,” it said.

Competitor Grab Philippines earlier filed for a 5 percent fare hike before the LTFRB. —Ted Cordero/VDS, GMA News