Council nixes approval of taxi franchises in city

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BAGUIO CITY  – The local legislative body approved a resolution opposing the implementation of Memorandum Circular (MC) No. 2019-016 of the Land Transportation Franchising Regulatory Board (LTFRB) that opened additional taxi franchises in the city considering its serious negative impact to the traffic congestions around the country’s undisputed Summer Capital.

The resolution that was authored by all members of the local legislative body was in support to the previous pronouncement of Mayor Benjamin B. Magalong urging the LTFRB to cancel the approved taxi franchises that will ply the city’s route because of its negative impact to the prevailing traffic problems of the city.

The resolution stated that the additional taxi units that was approved will definitely worsen the existing traffic and parking problems of the city considering that the said LTFRB decision entails increase in the number of motor vehicles, thus, the need for the local government to oppose the same because of its serious negative impact to the overall traffic situation in the city.

Earlier, the LTFRB issued MC No. 2019-16 that opened additional taxi franchises for Baguio City/La Trinidad, Benguet to any point in the Cordillera Administrative Region and in Butuan City to any point in the CARAGA region.

The issued memorandum was pursuant to Department Order No. 2017-001 that prescribed the omnibus guidelines on the planning and identification of public road transportation services and franchise issuance and Section 5(a) of Executive Order No. 202 dated June 19, 1987 which provided for the power of the LTFRB to prescribed and regulate routes of service, economically viable capacities and zones or areas of operation of public land transportation services provided by motorized vehicles.

The resolution stipulated that the additional 200 taxi units was based on the alleged survey conducted by the concerned regional franchising and regulatory office.

According to the local legislative body, the existing taxi units can still service the city even with the projected increase in population, growth of the local tourism industry, cancellation, expiration and abandonment of certificates of public convenience (CPCs), thus, there is no need for the LTFRB to  grant the additional taxi franchises even on fleet management because it will derail the efforts of the local government to effectively and efficiently address the worsening traffic congestions around the city.

The resolution argued that the alleged perceived increase in the demand for taxi service in the city can never be attributed to the reported shortage and decrease in the number of taxi units but to the heavy traffic brought by the voluminous number of motor vehicles plying the city roads, the narrow condition of the city roads and lack of sufficient parkin.

The approved resolution will be forwarded to the Office of President Rodrigo R. Duterte, the Department of Transportation, the LTFRB, both national and regional offices, and other offices concerned for their information and appropriate action.

LTFRB is an attached agency of the Department of Transportation that issues certificates of public convenience to applicants for motorized land transportation operating in the entire country. By Dexter A. See

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