[ MEMORANDUM CIRCULAR NO. 2018-005, February 13, 2018 ]

AMENDMENT TO MEMORANDUM CIRCULAR NO. 2018-03 [RE: COMMON SUPPLY BASE FOR TRANSPORT NETWORK VEHICLE SERVICE (TNVS)]



Adopted: 12 February 2018
Date Filed: 13 February 2018


WHEREAS,   the  Board  issued  Memorandum   Circular  No.  2018-03  [Re: Common  Supply Base for Transport  Network  Vehicle Service (TNVS)] wherein the Board set a common supply base for TNVS and lifted the moratorium on the acceptance   of   applications   for   the   issuance   of   a   Certificate   of   Public Convenience (CPC) to operate TNVS.

WHEREAS,  prior to the scheduled  acceptance  of TNVS applications  or on
05 February 2018, after subsequent consultations with the Department of Transportation (DOTr) to discuss intervening facts and findings, the Board was constrained to suspend the implementation of MC No. 2018-03 to conduct further studies on the actual number of units to form the common supply base.

WHEREAS,  as a result of the audit performed  by independent  auditors on the pertinent data of Transport Network Companies  (TNCs) up to the period of July 2017, a reconciled master list was arrived at wherein it was found that the TNCs have a total of fifty nine thousand  and twenty (59,020)  accredited  peers most of whom were not able to file their respective applications for CPC with the LTFRB due to the moratorium on the acceptance of TNVS applications.

WHEREFORE, premises considered, taking into account factor such as unserved demand, color coding and churning rate peculiar to TNVS operation all for the paramount  interest of the riding public, the Board resolves to revise the common supply base as follows:
Metro Manila (including MUCEP area) - 65,000 TNVS units
Metro Cebu - 1,500 TNVS units
Pampanga - 250 TNVS units
Likewise, accredited hatchback units shall now be allowed subject to the following conditions:
  1. Hatchback units shall be accepted subject to a transition period of three (3) years in order for the peers to recoup their investment.

  2. Hatchback  units  shall  only  be  allowed  to  operate  within  Metro  Manila.
    Hatchback  units are prohibited  from operating  in the provinces  of Laguna, Bulacan, Rizal and Cavite.

  3. Hatchback units shall charge lower fare rates to be approved by the LTFRB.
TNVS Applicants shall likewise be allowed to replace or drop and substitute their accredited  vehicles  with year models  from 2012 and earlier  within  ninety (90) days from effectivity of this Circular.

This Memorandum Circular shall take effect after fifteen (15) calendar days reckoned from its publication in a newspaper of general circulation and the filing of three (3) copies hereof with the UP Law Center pursuant to Presidential Memorandum Circular No. 11, dated 09 October 1992.

SO ORDERED. 12 FEB 2018
Quezon City, Philippines

(SGD) ATTY, MARTIN B. DELGRA, III
Chairman


(SGD) ENGR. RONALDO F. CORPUS
Board Member
(SGD) ATTY. AILEEN LOURDES A. LIZADA
Board Member


Attested by:
(SGD) ATTY. CARL SHA JEMIMAH F. MARBELLA
Officer-in-Charge
Office of the Executive Director