LTFRB caps booking fees of app-based taxis at P60 max

MANILA, Philippines — The Land Transportation Franchising and Regulatory Board (LTFRB) has capped the booking or platform fees of app-based taxi services at up to 20 percent of the total approved rate of P60, whichever is lower.

In a memorandum, Chairman Vigor Mendoza said the fee is applied uniformly to all taxis using online booking platforms and shall be reflected in the fare computation, booking confirmation and electronic receipts issued to passengers.

Mendoza said the order was made to resolve the unreasonable and non-transparent practices of unauthorized collection of additional charges by taxi operators.

“No additional booking fee, convenience fee, service fee, platform surcharge or similarly denominated charge beyond the foregoing authorized amount shall be imposed or collected without prior approval from the Board,” he said.
Misrepresenting and concealing charges to passengers, collecting duplicate or overlapping collections, charging unreflected fees in the approved fare structure or e-receipt and arbitrary or dynamically generated booking charges are also prohibited under the new guidelines.
The LTFRB also mandated taxi operators to maintain records of all booking-related charges for audit and inspection.

“Any operator, platform provider or driver found violating the provisions of this circular shall be subject to the appropriate administrative sanctions, including fines, suspension, cancellation of franchise, accreditation or other penalties under existing laws, rules and regulations,” Mendoza said.