Sen. Gatchalian wants to institutionalize TNVS for passenger protection, less traffic congestion

2:22 pm on 7 November 2022, Monday

By: Tamara Morrigan Catada

Senator Sherwin "Win" Gatchalian is pushing for Senate Bill No. 817, which seeks to standardize transport network vehicle services (TNVS), in a bid to ensure the safety of both the riding public and the drivers.

The senator explained that the development of the transport network services industry could also reduce the volume of vehicles on the road, and thus help ease traffic congestion, especially in metropolitan areas. 

The proposed measure allows TNVS to offer ridesharing services to help decongest roads.

He cited a study by the Japan International Cooperation Agency (JICA) which states that the country is projected to lose P5.4 billion to daily traffic by 2035 if no interventions are made to improve the situation. The agency had previously estimated that the country loses P3.5 billion daily due to traffic congestion.

Gatchalian noted that the emergence of TNVS such as Grab, Joyride, and OWTO, among others, provides commuters with more choices and has already compelled taxi operators to improve their service in terms of convenience, safety, and efficiency.

He also stressed that while the Department of Transportation (DOTr) has relegated to the Land Transportation Franchising and Regulatory Board (LTFRB) the full authority to regulate and supervise transport network companies (TNC) and TNVS, there is a need to institutionalize rules and regulations that would govern the industry.

"Kailangan nating maglagay ng mga mekanismo na magpapaunlad sa industriya kasama ang mga transport network services at magbibigay proteksyon sa mga pasahero (We need to set up mechanisms that would improve the industry, including transport network services, and strengthen passenger protection)," the senator emphasized.

The measure seeks explicitly to define the nature of TNCs and TNVS, and clarify their role as a common carrier. As proposed by Gatchalian, TNCs and TNVS are obligated under a contract of carriage once passenger avails of their service. Thus, a TNC cannot evade liability by contending that they are merely a technological platform to connect the passenger with the driver.

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