Taxis must upgrade vs Uber–DoTC

MANILA, Philippines—Contrary to the earlier stance of its own Land Transportation Franchising and Regulatory Board (LTFRB) unit, the Department of Transportation and Communications (DOTC) has said that taxi operators should modernize and improve their services instead of opposing technology solutions like ride-sharing app Uber.

“People prefer to use these tech-based transport services because they are more convenient. It’s that simple. So my advice to taxi operators: Modernize, innovate and improve your systems and services,” Transportation Secretary Joseph Abaya said in a statement on Wednesday.

“Commuters say they feel safer taking these private vehicles-for-hire, that the fleet are newer, that app services are faster and more efficient. So why put a stop to what is clearly for their benefit? Poorer services should be upgraded to match their competition—not the other way around,” he added.

Abaya’s statement was the latest effort by the Department of Transportation and Communications (DOTC) to show that it was open to new technology solutions after the arrest last month of a private vehicle owner who had partnered with Uber. The incident drew intense criticism, mainly from Netizens.

The Land Transportation Franchising and Regulatory Board (LTFRB) is set to hold a hearing on Nov. 24 in line with a plan to update its rules to accommodate technology solutions like Uber, a ride-sharing service available in several countries.

The LTFRB has identified the existing “vehicles-for-hire” category as the likely classification for Uber vehicles, it said. While considered “colorum” since these vehicles are operating without a transport franchise, the LTFRB has not taken any further action since the DOTC signaled its intention to work with the service.

Ginez earlier said that the arrest in Manila stemmed from complaints filed by various groups, including the Philippine National Taxi Operators Association.

Uber has been facing challenges and even protests in other parts of the world, mainly by taxi operators, who say it and other similar apps allow the operation of illegal public transportation services which are regulated and require a government franchise or permit.

During a recent hearing, congressmen criticized the LTFRB for allowing Uber to operate in the country despite the fact that its vehicles may be considered colorum. -With report by Miguel R. Camus