Taxi meters need to be recalibrated for P40 taxi flag-down rate —LTFRB

Land Transportation Franchising and Regulatory Board spokesperson Aileen Lizada on Thursday clarified that the adjustment of the taxi flag-down rate of P40 will not happen overnight.

The announcement will be published on Thursday, October 5, she said in an interview on Unang Balita.

After that, taxi drivers will need to have their taxi meters reprogrammed and recalibrated according to the new flag-down rate in accredited LTFRB areas.

An inspector from the LTFRB will then test-ride taxis with recalibrated meters in a designated compound.

"Let's say kung aabutin ng one kilometer, titignan kung papatak," Lizada said, adding the test may extend to three kilometers.

"If the inspector is satisfied, then ise-seal niya na ho 'yung metro, meaning to say nakapasa. Kung hindi nakapasa, then reprogram again," she added.

On Wednesday, the LTFRB ordered the adjustment on the fare rates for taxis, and made permanent the provisional P40 flag-down rate for the first 500 meters.

According to the LTFRB decision, taxi services operating in the National Capital Region (NCR) and the provinces, including the Cordillera Administrative Region, are now granted a charge of P13.50 per kilometer of distance traveled with P2 per minute of travel time from origin to destination.

Under these new rates, a 10-kilometer and 45-minute ride will now cost P265, computed through this formula, said Lizada in a text message to reporters: P40 flag-down + P13.50 x 10 kilometers + P2 x 45 minutes = P265.

Lizada said in the interview that the decision was welcomed by taxi operators, who now face tight competition with application-based transportation network companies (TNC) like Uber and Grab.

"It is a welcome [development] for them, considering, sir, that 50 percent of their taxi units are now remaining...naiiwan na ho sa garahe, natetengga na ho sa garahe, because of the development of these mga TNCs. Lumilipat na 'yung driver sa kabila," Lizada said.

Lizada added that the LTFRB took in consideration prices of petroleum products, the cost of living, and the value of money for the past seven years.

"We are not only judicial in nature, we also partake the nature of...commercial in nature. Why? Kasi while we have the power to regulate, we also have the power to fix the fare considering the attendant circumstances present ho, or what we see on the ground...Otherwise if we do not do something, sir, we might have your taxi in the streets paid from the...as a denomination. Ito ho 'yung ayaw naman na nating mangyari," Lizada said.

Lizada also said boundary rates must not increase despite the increase in the flag-down rate.

"The boundary must not increase, because constant ho 'yung bayad nila (operators) sa kanilang loan amortization, sa gas nila," she said.

Lizada added taxi drivers work for almost half a day just to earn enough money to pay their boundary with.

"Makikita ho siguro natin dito, instead of 14 hours to get money for the drivers, siguro babawas ho ito. Siguro magiging 10 hours. Siguro magiging nine hours 'yung biyahe niya on the road, to get, para makuha niya 'yung kanyang boundary," she said.

"...When I went around, sir, mga nandyan ho, sa mga, depende sa traffic, mga it's somewhere between eight, kung masipag ka, hanggang 12 hours para makuha mo 'yung boundary mo lang. Lampas niyan, 'yun na 'yung kita ng driver," she added. —Nicole-Anne C. Lagrimas/KG, GMA News