The Land Transportation Franchising and Regulatory Board (LTFRB) is preparing to release a new directive that will shift the responsibility of providing a 20 percent discount to transport network companies (TNCs) for senior citizens, individuals with disabilities, and students. This decision was highlighted during a Senate Committee on Public Services hearing on January 14, 2025, where LTFRB chairperson Teofilo Guadiz III emphasized that TNC drivers should not bear the cost of these discounts, as they already manage vehicle fuel and maintenance expenses.
Guadiz announced that a forthcoming memorandum circular, due to be implemented in February, will mandate TNC operators and app owners to fully cover these discounts. He stressed the importance of excluding drivers from this financial burden, stating, “The driver should not shoulder anything.”
Despite an earlier LTFRB proposal suggesting a split where drivers and operators would cover 20 percent of the discounts and TNCs the remaining 80 percent, Senator Raffy Tulfo, chair of the panel, firmly advocated for TNCs to bear the entire cost. Tulfo’s stance was reinforced by reports from his office about TNC drivers cancelling rides for eligible passengers to avoid the discount, prompting his insistence on a full TNC responsibility.
This policy shift aims to ensure that vulnerable groups continue to receive their entitled discounts without affecting the drivers’ earnings, addressing a significant concern raised by commuters.