Booking a Ride? LTFRB Just Approved a New "Pick-Up Fare" for the Holidays

(SPOT.ph) Starting December 20, passengers using ride-hailing apps will have to pay extra even before they’re picked up. The Land Transportation Franchising and Regulatory Board (LTFRB) has approved a fixed pick-up fare for Transport Network Vehicle Services (TNVS), meaning the distance a driver travels to reach you will now count toward your total bill during the peak holiday season.

Under LTFRB Memorandum Circular 2025-058, fare charging begins the moment a driver accepts your booking, not when the ride actually starts, as was previously the case. The system covers up to a five-kilometer radius from the driver’s location to your pick-up point, with a fixed per-kilometer charge added on top of the regular fare. Rates vary depending on vehicle type: sedan-type TNVS could collect from P26 to P130, AUV/SUV from P29 to P145, and premium TNVS from P58 to P289.

“We understand the concerns raised by the TNVS drivers and the arguments they raised are backed by studies on travel time especially in Metro Manila. That is why we are implementing this measure as an acceptable and justified solution to balance the impact of the price surging reduction by 50% to the TNVS community,” LTFRB Chairperson Vigor Mendoza said.

The policy will be in effect from December 20, 2025 to January 4, 2026, covering the busiest travel period of the year. It takes effect on the same day as the recently approved pricing cap, which reduces allowable surge rates by 50% during the holiday period to limit fare increases for passengers.

Also read: LTFRB to Fine TNVS Drivers for Cancelling Bookings They’ve Already Accepted

For commuters, this means your total fare will likely be higher, especially if you’re booking during peak hours, but it also means you might finally get a ride when you need one. LTFRB’s position is that many of the booking issues passengers complain about—drivers refusing to accept rides, asking passengers to cancel, or simply not moving toward the pick-up point—are tied to the cost drivers shoulder just to reach passengers.

According to figures from the Metropolitan Manila Development Authority (MMDA), average vehicle speeds along EDSA can crawl to just one kilometer per hour during peak hours, which is far slower than the typical 17 to 20 kilometers per hour. The LTFRB said the pick-up fare is meant to offset that loss so drivers are more willing to accept bookings instead of avoiding them altogether.

Transport Network Companies (TNCs) are prohibited from taking any share of the pick-up fare, meaning the entire amount goes directly to the driver.

Also read: LTFRB Orders Ride-Hailing Companies to Shoulder 20% Discounts