A network of digital advocates is calling on the Land Transportation Franchising and Regulatory Board (LTFRB) to ensure that ride-hailing platforms are complying with the approved fare structure, following reports from Transport Network Vehicle Service (TNVS) drivers of very low fares offered on the platform InDrive despite rising fuel costs.
The call comes after the LTFRB recently granted a provisional fare increase aimed at helping drivers cope with higher fuel prices and operating expenses.
Digital Pinoys National Campaigner Ronald Gustilo said the group has received numerous complaints from drivers who claim that some fares being offered through ride-hailing platforms may no longer cover basic operating costs, even with the fare adjustment in place.
“The LTFRB has already recognized the burden of rising fuel costs by granting a provisional fare increase. The next step is to ensure that this fare structure is properly implemented and reflected in actual bookings,” Gustilo said.
According to Gustilo, fuel costs account for a significant portion of a driver’s daily expenses, alongside vehicle maintenance and platform commissions. He noted that when fares fall below sustainable levels, drivers are often left to choose between accepting financially disadvantageous trips or foregoing income opportunities.
“Some drivers report that fares barely cover fuel costs. If fares remain very low despite rising oil prices, this undermines the intent of the fare increase and places drivers in a difficult economic position,” Gustilo added.
Gustilo emphasized that failure to align actual fares with the approved fare structure could have broader implications for the TNVS sector, including reduced driver participation and potential service disruptions for commuters.
“We are not against affordable transportation, but affordability should not come at the expense of driver welfare. The fare structure exists to strike a balance between commuter protection and fair compensation for drivers,” he said.
Digital Pinoys is urging the LTFRB to closely examine the pricing mechanisms being implemented by ride-hailing platforms and to ensure that fares being offered to passengers remain consistent with the approved tariff structure.
“We call on the LTFRB to verify whether TNVS platforms are complying with the fare matrix, especially following the recent fare increase. Ensuring compliance is critical so that drivers can fairly recover their operating costs,” Gustilo said.
