LTFRB Opens 8,750 Ride-Hailing Slots Exclusively for Electric Vehicles

Every new ride-hailing car in Metro Manila must be electric
The LTFRB's 7,500 new Metro Manila permits are exclusively for battery and plug-in hybrid vehicles, marking a regulatory shift toward electric transportation.
Mark

So the LTFRB is saying that every new ride-hailing car in Metro Manila has to be electric. That's a hard line, isn't it?

Mimi

Completely. In the capital, there's no middle ground—no conventional hybrids, no gas engines. It's BEVs or plug-in hybrids, period. Outside Metro Manila, they're being gentler about it, splitting the slots fifty-fifty.

Luke

But how many operators actually have access to electric vehicles right now? Is there even supply?

Mimi

That's the real question. The LTFRB is creating the demand signal, but the market has to deliver the supply. We don't know yet whether there are enough affordable electric ride-hailing vehicles available.

Mark

Why did they do this now? What changed?

Mimi

Three things, according to Pua. Passenger demand is outpacing the current number of permits. The regions are growing economically. And the President committed to 50 percent EV adoption by 2040, so this is the regulatory machinery moving to support that goal.

Luke

But that's a long timeline—2040. Why rush the Metro Manila slots now if the national target is fourteen years away?

Mimi

Because ride-hailing is visible, concentrated, and replaceable. You can't retrofit the entire vehicle fleet overnight, but you can control what new permits go to.

Mark

When do people actually start applying for these slots?

Mimi

Once the memorandum circulars get published in a newspaper. That hasn't happened yet, so we're still in the waiting period.

Luke

And if operators can't find enough electric vehicles to buy? If the supply doesn't match the demand the LTFRB just created?

Mimi

Then you'd have approved slots sitting empty, or operators unable to expand. It's a real risk.

  • Metro Manila's entire allocation of 7,500 new ride-hailing slots is restricted to battery electric and plug-in hybrid vehicles, leaving no room for conventional engines in the capital's expanding fleet.
  • The decision creates immediate pressure on operators and drivers: to compete in the country's largest ride-hailing market, they must now invest in electric vehicles or redirect their ambitions to provincial routes.
  • Outside Metro Manila, Ilocos and Bicol regions received a more gradual approach — half their combined 1,250 slots reserved for EVs, half open to combustion engines, acknowledging uneven infrastructure readiness.
  • Applications cannot begin until memorandum circulars are formally published, leaving operators in a holding pattern that is weeks away from resolution.
  • For vehicle manufacturers and dealers, the approval sends a concentrated demand signal — the Philippines' most competitive urban market has just committed to electrification at scale.

In a regulatory move that ties daily mobility to long-term environmental ambition, the Philippines' Land Transportation Franchising and Regulatory Board has approved 8,750 new ride-hailing permits across Metro Manila and two Luzon regions — reserving every Metro Manila slot exclusively for electric vehicles. The decision reflects President Marcos's stated goal of achieving 50% electric vehicle adoption nationwide by 2040, translating a political vision into a concrete market condition. For the hundreds of thousands of passengers who move through the capital each day, and for the operators who serve them, the rules of the road are quietly but unmistakably changing.

The Land Transportation Franchising and Regulatory Board has approved 8,750 new ride-hailing permits across Metro Manila, Ilocos, and Bicol — but the terms attached to Metro Manila's 7,500 slots mark a clear departure from past practice: every single one is reserved exclusively for electric vehicles. Acting Chairman Atty. Greg G. Pua Jr. described the decision as direct alignment with President Marcos's goal, announced in his State of the Nation Address, of placing electric vehicles at half of all road traffic by 2040.

Outside the capital, the board took a more measured approach. Ilocos Region received 650 slots and Bicol 600, each split evenly between electric and conventional vehicles. Within Ilocos, permits were distributed by province — Ilocos Norte, Ilocos Sur, and La Union each receiving 150 slots, while Pangasinan was granted 200 under a separate regional classification, all divided equally between powertrain types.

The regulatory language leaves little ambiguity: only Battery Electric Vehicles and Plug-in Hybrid Electric Vehicles qualify for the new permits. Conventional hybrids and internal combustion engines are excluded, and the Land Transportation Office will verify each vehicle's classification at registration. The board grounded its decision in three factors — insufficient existing supply relative to passenger demand, direct feedback from operators and commuters, and accelerating economic growth across urban centers, commercial districts, and tourism zones.

Applications will open only after the memorandum circulars are published in a newspaper of general circulation, a step that has not yet occurred. When that window does open, operators will face a defining choice: commit to electric vehicles to access Metro Manila's market, or concentrate on provincial regions where conventional engines remain permitted. For the broader industry, the approval functions as an unmistakable signal — electrification in Philippine ride-hailing is no longer a future aspiration but a present regulatory condition.

The Land Transportation Franchising and Regulatory Board has approved 8,750 new ride-hailing permits across Metro Manila and two regions in Luzon, but with a decisive condition: in the capital, every single one of those 7,500 slots goes exclusively to electric vehicles. It is a regulatory bet that the country's largest ride-hailing market will shift decisively toward battery power.

The move marks a departure from how the LTFRB has historically distributed permits. Acting Chairman Atty. Greg G. Pua Jr. framed the decision as alignment with the national government's environmental agenda. President Marcos stated in his recent State of the Nation Address that the country aims to have half of all vehicles on the road be electric by 2040. This approval is a concrete step toward that target, at least in the ride-hailing sector, which moves hundreds of thousands of passengers daily across Metro Manila.

Outside the capital, the approach is more measured. Ilocos Region received 650 new slots, with half reserved for electric vehicles. Bicol Region got 600 slots, split the same way. Within Ilocos, the board allocated permits by province: Ilocos Norte, Ilocos Sur, and La Union each received 150 slots—75 for electric vehicles and 75 for conventional combustion engines. Pangasinan, which falls under a different regional classification, was approved for 200 slots, evenly divided between electric and conventional.

The regulatory language is precise about what qualifies. The LTFRB memorandum circulars specify that only Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs) are eligible for the new permits. Conventional hybrids, standard internal combustion engines, and any other powertrain technology fall outside the approval. The Land Transportation Office will verify each vehicle's classification at registration.

Pua said the decision rested on three pillars of evidence. First, monitoring and study of transport conditions showed that existing TNVS allocations were insufficient to serve the geographic spread and rising passenger volume in these three regions. Second, stakeholders—operators, drivers, and commuters—reported unmet demand. Third, economic expansion was accelerating: urban centers, commercial districts, government offices, and tourism zones were all growing, each generating more need for safe, reliable, accessible transport.

Applications for the new slots will open once the memorandum circulars are published in a newspaper of general circulation. That publication has not yet occurred, meaning the actual filing process remains weeks away. When it does begin, ride-hailing operators will face a choice: invest in electric vehicles to compete in Metro Manila's market, or focus on the provincial regions where conventional engines remain an option. For drivers already operating in the capital, the approval signals that the regulatory environment is moving decisively in one direction. For manufacturers and dealers, it represents a sudden, concentrated demand signal for electric ride-hailing vehicles across the country's most competitive market.

The move is in line with the direction of the national government for a modern and environment-friendly public transportation.
— Acting LTFRB Chairman Atty. Greg G. Pua Jr.
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