The Land Transportation Franchising and Regulatory Board has announced the reimplementation of fixed pickup fares for ride‑hailing services. The move aims to curb unpredictable fare spikes while addressing rising operating costs for drivers.
Board chairman Vigor D. Mendoza II said the new policy seeks to balance the interests of commuters and drivers, stating that the pickup fee structure would benefit both parties.
Under the new memorandum, hatchback vehicles will charge a pickup fee of 24 pesos for the first kilometer, increasing to 120 pesos within five kilometers. Higher‑class vehicles such as sedans, SUVs and premium units will carry correspondingly higher rates.
Transport network companies are required to limit the passenger‑matching radius to five kilometers, disclose the pickup fee before a booking is confirmed, and present the fee in the fare breakdown.
The board has also maintained a cap on booking fees for app‑based taxis, limiting them to the lower of 20 percent of the approved fare or 60 pesos.
