Manila: The Land Transportation Franchising and Regulatory Board (LTFRB) is preparing to issue a memorandum circular that mandates transport network companies (TNCs) to fully shoulder the 20 percent discounts for senior citizens, persons with disabilities, and students.

According to Philippines News Agency, during a public hearing of the Senate Committee on Public Services, LTFRB chairperson Teofilo Guadiz III agreed that TNC drivers, who bear the costs of fuel and vehicle maintenance, should not be responsible for the 20 percent discount. Guadiz mentioned that the memorandum, to be implemented in February, will require TNC operators and app owners to cover the discounts.

Guadiz emphasized, “Definitely, the driver should not be included in the equation. Dapat walang shino-shoulder yung driver (The driver should not shoulder anything).”

During a recent LTFRB Board hearing, it was initially agreed that drivers/operators would shoulder 20 percent of the privilege discounts, with TNCs covering the remaining 80 percent. However, Senator Raffy Tulfo, the panel chairperson, insists that TNCs should bear the entire 100 percent of the discount.

Tulfo stated in a press conference following the hearing, “On the other hand, pinagpipilitan ko talagang 100 percent na ikakarga sa TNC company. Yun ang gusto kong mangyari at sabi nga ni Atty. Guadiz na (I am insisting that 100 percent should be shouldered by the TNC company. That’s what I want to happen and Atty. Guadiz said that), yeah, he will abide to it.”

The issue was brought to the forefront due to reports received by Tulfo’s office indicating that some TNC drivers tend to cancel bookings from senior citizens, persons with disabilities, and students to avoid the 20 percent discount.