Uber “appeared” to have violated policy on fare surcharges: LFTRB

October 10, 2017

Land Transportation Franchising and Regulatory Board (LTFRB) chairman Martin Delgra III said Uber "appeared" to have violated a policy for their fare surcharge which LTFRB was lately informed. "As it appears, but we are trying to ascertain that and in a policy consideration. That is why we are trying to understand who really dictates the fare structure: the TNC (transport network companies) or TNVS (Transport Network Vehicle Service)", said Delgra in an ambush interview on Tuesday. Delgra said Uber is applying surcharges aside from their flag down rate which is P2 for one minute and P5.70 for one kilometer. "Aside from what they are calling fare which is basically flat rate or flag down rate, the P2 for one minute, there is P5.70 for one kilometer, insofar as Uber is concerned, there is still the surcharge", he said. Uber has a P80 surcharge on destinations going to Cavite, P100 to Alabang and Laguna and P60 to Rizal, Delgra said. "According to them determining the places where the destinations may be located that is why the amount of surcharges is different. There is P60, P80, and P100", he said. "What is hard on the part of the board is they did not tell the board that they will impose these surcharges", Delgra added. Delgra directed Uber to submit within 10 days a supplemental position paper on the need for a surcharge fee on routes that will pass through tollways. Last Sept 28,  LTFRB  ordered Uber not to implement surcharges ranging from P80 to P100 for trips  headed towards southern Metro Manila through tollways. Delgra said the matter can affect the accreditation of Uber drivers. "Definitely there is (effect) but we are not saying that we will cancel or suspend them", he said. Delgra said the the memorandum circular 2015-015 does not prohibit the surcharge but it states that the TNC has to disclose their fare structure. "Insofar as the rules are concerned, it is not really cleared there that it is prohibited. What is clear in the memorandum circular 2015-01 is the TNC has to disclose their fare structure to us", he said. "That is their obligation which apparently they did not disclose, only belatedly", Delgra added. Delagra said LTFRB will revise the four existing memorandum circular to address the issue. Alanna Ambi DMS