Booking a Ride-Hailing Service Could Soon Cost More Under LTFRB’s Revived 'Pick-Up Fares'

(SPOT.ph) The price shown for your next ride-hailing booking could soon include another charge—and this one covers the trip before you even enter the car. The Land Transportation Franchising and Regulatory Board (LTFRB) is bringing back fixed pick-up fares for transport network vehicle services (TNVS).

Under LTFRB Memorandum Circular 2026-059, fare charging will now begin 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.

“While commuters’ welfare is a priority, part of our mandate is also to ensure that the concerns of those from the public transportation sectors are heard. In this case, the revival of the pick-up fare implementation will serve both ends,” LTFRB Chairman Vigor Mendoza said.

The return of the pick-up fares was officially announced on July 19 in a Facebook post, but they are not in effect just yet. LTFRB said Memorandum Circular 2026-059 will only be implemented after it is published in a newspaper of general circulation. The agency has not said when that will happen.

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

The amount depends on the type of vehicle you book and how far away the driver is when the booking is accepted. For drivers within one to five kilometers of your location, the fixed rates are:

Yup, booking a premium car with a driver five kilometers away could add as much as P289 to your total bill.

This fixed pick-up fare was first implemented during the 2025 holiday rush after TNVS drivers raised concerns about the time, fuel, and other costs they shoulder while heading to a passenger’s location. The LTFRB said bringing it back could help prevent ride shortages while protecting passengers from excessive charges.

“There is a need to revive the fixed Pick-Up Fares under MC No. 2025-058, which the Board previously found reasonable, in order to prevent service shortages, ensure the availability of rides across all areas, and protect the riding public from unauthorized or improvised pick-up charges,” it said in Memorandum Circular 2026-059.

LTFRB's fixed rates for pick-up fares have passenger protections in place, too. Passengers should at least know exactly what they are paying for.

Under the new rules, the charge should appear separately before you confirm the booking, be included in the total fare shown in the app, and appear again on the electronic receipt. The full amount must go to the driver, with TNVS prohibited from adding another booking, convenience, or similarly named fee on top of it. That means some rides could still cost more, but the amount cannot be arbitrary or hidden.

Ride-hailing platforms are also required to limit the matching radius to five kilometers, meaning they cannot impose a higher pick-up fare by assigning a driver who is farther away.
 

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