LTFRB insists Makati gov't need special permit for free shuttle

MANILA, Philippines - The Land Transportation Franchising and Regulatory Board (LTFRB) on Tuesday stood pat on its decision requiring the Makati City government to apply for a special permit to continue offering free bus service from Quezon City to Makati.

The Board earlier sent Makati Mayor Jejomar Binay Jr. a letter requesting the city government to submit to the LTFRB all the documentary requirements to secure a special permit to continue providing the free shuttle service for an extended period of time.

The city government has been offering a free bus service as an alternative transport mode for Metro Rail Transit passengers from Trinoma Station in Quezon City to Ayala Avenue in Makati.

The city government, in reply to the letter, claimed that it has the power to provide adequate transportation services pursuant to Local Government Code.

It added that they should not be required to obtain Certificates of Public Convenience.

In response to the letter, the Board clarified that it did not require the City of Makati to secure a CPC to operate public land transportation service. However, it added that the LTFRB has jurisdiction over public land transportation services even if operated by government entities, such as local government units.

Under Section 13 of the Public Service Law, LTFRB cited that it has the jurisdiction, supervision, and control over all public services and their franchises, equipment, and other properties, and has the necessary powers and the aid of the public force: All public services owned or operated by government entities or government-owned or controlled corporations shall be regulated by the Board in the same way as privately-owned public services.

"The Board commends the City Government of Makati’s initiative to provide free shuttle service, and its willingness to coordinate with the Board in pursuit of offering public service to the people," LTFRB chairman Winston Ginez said.

In the reply letter, the Board said the shuttle vehicles would be operating a public utility or common carrier service which means they are under regulatory powers of LTFRB that cannot just be simply abdicated.

The City of Makati strictly implements ordinances, rules and regulations in requiring all persons doing business in the City to secure permits. It also requires all property owners building, constructing and renovating any structure to secure a building permit before it can proceed with the works.

"The directive of the Board for the City of Makati to file an application/petition for a special permit is but an exercise of our regulatory authority. We enjoined the City of Makati to abide with our existing laws on public land transportation similar to the strict implementation of rules and ordinances in their jurisdiction," Ginez said.

He reiterated that the Board will facilitate the processing of the city's application for a special permit as soon as they receive the required documentary requirements.

"We share the City of Makati’s aim of helping public commuters efficiently and conveniently reach their destinations but the public transport mode should be within the bounds of the Public Service Law," Ginez said.