Taxi operators in the Philippines have once again urged the Land Transportation Franchising and Regulatory Board (LTFRB) to consider raising the flag-down rate in response to the escalating prices of petroleum products. The Philippine National Taxi Operators Association, led by its president Bong Suntay, expressed their concerns during a recent interview.
Suntay revealed that the taxi operators' appeal for an increased flag-down rate has been pending for a year now since its initial filing in 2021. The original request, which aimed to raise the flag-down rate from P40 to P70, was met with no official response from the LTFRB. "Wala (Nothing)," Suntay responded when asked about any developments in the case.
Highlighting the urgency of their appeal, Suntay emphasized that the current flag-down rate has remained unchanged since 2017, despite substantial shifts in economic conditions. At that time, gasoline prices ranged from P34 to P38. Presently, the cost of gasoline has surged to P68. "We didn't ask for an increase in the fare per kilometer. We believed that the barest minimum for the taxi industry was an adjustment in the flag-down rate," Suntay stated.
In an attempt to address the industry's concerns, the LTFRB previously sanctioned a fare increase of P5 for taxis. However, taxi operators chose not to implement it. Instead, they stood firm on their request for an additional P30 to the current flag-down rate of P40.
Suntay justified their appeal by explaining that a fare increase would directly benefit drivers. A more sustainable income for drivers would encourage them to actively operate their taxis, in turn benefiting both drivers and operators. "When drivers earn, they'll put their taxis on the road. When they do that, operators profit as their units are being utilized," Suntay concluded.
As the taxi industry grapples with the economic implications of escalating fuel costs, stakeholders eagerly await a response from the LTFRB regarding the proposed flag-down rate adjustment. The outcome of this ongoing negotiation will undoubtedly impact the livelihoods of taxi drivers and the overall dynamics of the industry.