LTFRB lifts moratorium on entry of new transport network firms

The Land Transportation Franchising and Regulatory Board (LTFRB) has lifted the moratorium on the entry of new ride-hailing transport network companies (TNCs).

In its Memorandum Circular No. 2021-066 dated November 12, the LTFRB said the Memorandum Circular issued on August 10, 2018 which suspended the acceptance of new applications for TNC accreditation is “lifted” to give new entrants “the opportunity to apply, thus, inviting healthy competition among TNCs.”

The public land transport regulator suspended the acceptance of TNC applications in August 2018 “after receiving a considerable number of applications” and in order to allow the agency to closely monitor the operations of existing TNCs.

The LTFRB decided to lift the moratorium after it found that only one TNC remained “popular and dominating the market.” It did not name the dominant TNC player.

The agency also said that other TNC appeared to be not operationally capable to assume responsibilities as TNC.

Interested TNC applicants need to pay an accreditation fee of P30,000 before filing an application. The same amount shall be paid in renewing accreditation. —LBG, GMA News