SPEAKER Ferdinand Martin G. Romualdez announced last Sunday the prioritization of House Bill (HB) 3412, which aims to legalize motorcycles as public transportation vehicles and reform existing transportation network vehicle service (TNVS) regulations.
According to Romualdez, the legislative action is a response to recent directives from President Ferdinand R. Marcos Jr. for increased transportation options for Filipinos, specifically endorsing the legalization of motorcycle taxis and the relaxation of TNVS regulations. The president’s stance became evident after a meeting with executives from Grab Holdings Inc. in Malacañang, emphasizing the need for diverse and accessible transportation solutions.
“The maintenance of peace and order, the protection of life, liberty, and property, and the promotion of the general welfare are foundational to our democracy. It’s imperative to adapt our laws to the evolving transportation landscape to ensure the well-being and convenience of our citizens,” Romualdez said.
HB 3412 aims to address the legal barriers that currently prevent motorcycles from being used as common carriers, thereby fostering a more inclusive and flexible transportation framework. This initiative is also seen as a step towards formalizing the status of motorcycle taxis, which have been operating under pilot testing in Metro Manila and Cebu since 2019.
The bill is also seen as a response to the rapid development of app-driven transport network companies, which has highlighted the necessity for updated regulations that keep pace with technological advancements and evolving public needs, according to lawmakers. The proposed legislation is expected to facilitate better regulation, enhance safety standards, and contribute significantly to the country’s economic recovery post-pandemic.
“The legalization of motorcycle taxis and the relaxation of TNVS regulations align with our goals to provide more choices for passengers, drivers, and businesses, particularly MSMEs,” Romualdez said. “This approach not only addresses the demand for more accessible public transport but also contributes to the economic recovery and employment opportunities in the country.”
The move to prioritize HB 3412 reflects the government’s commitment to enhancing the nation’s transportation infrastructure and regulatory environment, in line with the president’s vision for a more progressive and inclusive Philippines, the Speaker added.
Exclude Grab
MEANWHILE, the Department of Transportation’s technical working group decided to exclude Grab from the pilot study on motorcycle transport services, or MC taxis, House Committee on Metro Manila Development Vice Chairman Joel R. Chua said last Sunday.
Chua welcomed the decision, citing various violations on Grab’s part uncovered during committee hearings. He deemed the DOTR-TWG’s ruling fair, emphasizing the need to hold companies accountable for their actions.
“During the committee hearing, we discovered several violations on the part of Grab. So it’s a welcome development [that the company is excluded]. It was the right decision, a fair decision on the part of the DOTR-TWG,” Chua said.
The decision to exclude Grab apparently emanated from the MC taxi TWG, headed by Land Transportation Franchising and Regulatory Board (LTFRB) Chairman Teofilo E. Guadiz III.
When asked about pursuing further accountability from Grab, Chua stated that the Metro Manila Development Panel would abide by the committee’s decision.
Chua had previously criticized Grab for attempting to bypass government regulations and gain dominance in the app-based transportation sector, particularly after its acquisition of We-Load Transcargo Corp. (Move It) in August 2022, despite the DOT’s rejection of the partnership.
It was during the House panel investigation last year that the lawmakers found “multiple instances of non-compliance with proper procedures and the circumvention of government regulations” from Grab.
It was Chua who placed a spotlight on Grab’s other violations during the House probe. This included unpaid penalties, overcharging, dominance abuse, and even mistreatment of its riders.
The Manila lawmaker said the company failed to meet financial obligations set by the Philippine Competition Commission (PCC). He said that while Grab was ordered to pay P25.45 million in refunds, the firm only paid P6.15 million. The PCC had also said that Grab continued to increase its fares despite allegations of overcharging.
At any rate, Chua said he and the House panel “echo the call of the President to legalize the MC taxi.”
“I hope both Houses of Congress will give priority to the MC taxi bill that we sponsored so that issues that will affect the riding public as well as the drivers will be addressed,” he said.
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