Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

NINETEENTH CONGRESS
First Regular Session

307

HOUSE BILL NO.

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G.
HORIBATA AND HON. NICOLAS ENCISO VIII

EXPLANATORY NOTE

Ride-hailing apps have become a commuter's favorite phone application. With just a
tap on the screen, a ride would be on its way to pick you up wherever you are and
bring you to your destination. Nowadays, with traffic congestion still a big problem in
the streets of Metro Manila, motorcycles have become the preferred mode of transit
for motorists. And it's also become the favorite for commuters, as popularity is
increasing for motorcycle ride-hailing apps like Angkas as it provides for greater

mobility around the Metro.

We've seen Angkas riders with their blue vest cruise along EDSA, sometimes with a
passenger at the back, often called motorcycle taxis, and is currently operating in
Cebu, General Santos, and Cagayan de Oro apart from Metro Manila’. Globally,
motorcycle ride-hailing apps have been emerging in cities like Indonesia, Thailand,
India, Paris, and in East Africa, where the apps have been key in making motorcycle
taxi rides safer’. In Jakarta, motorcycle taxis have help drive unemployment rate
downward as the ride-hailing apps attract many Indonesians to join as drivers®

The idea of motorcycles as a form of public transportation is not new to the country.

* Reyes, Rizal Raoul. November 30, 2018. Business Mirror. Accessed on July 17, 2019.
https://businessmirror.com. ph/2018/1 1/30/angkas-riding-with-the-winds-of-change/

? Accessed on July 16, 2019. http:/‘techandlifestylejournal.com/angkas-motorcycle-taxis-globally-help-
economy

* bid.


Habal-habal is a commonly known form of transportation, especially in the province,
where up to 3, sometimes 5, people fit themselves in a motorcycle through a
makeshift extension seat to get around the city. The popular Tricycles also use
motorcycles to transport people, but are able to seat passengers in a sidecar
instead. Angkas is a modernized version of the classic Habal-habal, only being able
to seat 1 passenger alongside the driver and can be hired through a ride-hailing app.
Whether a Habal-habal or an Angkas motorcycle taxi, the goal is clear: to provide an
option for transporting people and helping commuters get to where they need to be.

In the hopes of improving this popular mode of public transportation, and making
sure that it is safe for commuters to take and ride around the city with, this measure
proposes to legalize motorcycles for hire. This would amend Section 3 and 7 of
Republic Act No. 4136 to include motorcycle-for-hire in the definition of terms and in
the classification of vehicles that would be required for registration with the Land
Transportation Franchising and Regulatory Board (LTFRB). It aims to recognize
motorcycles for hire, or Habal-habal or motorcycle taxis, as a legitimate mode of
public transportation in the country.

To ensure the safety of the riding public, the operators of motorcycles-for-hire are
required to have insurance coverage for the driver, rider and third party. The Land
Transportation Office, LTFRB and relevant agencies are mandated to provide the
necessary guidelines and minimum requirements to ensure the safety of passengers
and goods while the Department of Transportation is mandated to prescribe the

routes and require the establishment of terminals.

Number one priority in transporting people is the safety and welfare of the
passengers and the driver. In welcoming a new age of public transportation, this bill
seeks to set the groundwork to make motorcycles safe and secure for the riding
public and the operators. The proposed measure would start the framework for
quality assurance among motorcycles for hire, give commuters an alternative for a

mode of transportation and ensure a safe road for everyone.


This bill is filed as a counterpart to Senator Poe's version in the Senate.

The approval of this bill is earnestly sought.

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LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. MIGUEL LUIS R. VILLAFUERTE

AVA — Lip
Tst ISHi ANTHONY G. HORIBATA NICOLAS ENCISO Vill



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

NINETEENTH CONGRESS
First Regular Session

HOUSE BILL No. _307

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G.
HORIBATA AND HON. NICOLAS ENCISO VIII

AN ACT
ALLOWING AND REGULATING THE USE OF MOTORCYCLES AS PUBLIC
UTILITY VEHICLES, AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 4136,
OTHERWISE KNOWN AS THE “LAND TRANSPORTATION AND TRAFFIC
CODE, AND FOR OTHER PURPOSES”

Be it enacted by the Senate and House of Representatives of the Philippines
in Congress assembled:

SECTION 1. Short Title. - This Act shall be known as “The Motorcycles-for-Hire
Act*

SECTION 2. Declaration of Policy. - The State recognizes the role of safe, reliable,
and affordable public transportation as a means to provide the people with a rising
standard of living, and an improved quality of life for all. Towards this end, the State
hereby allows use and regulation of motorcycles as an alternative mode of public
transportation in order to provide convenience and ease of commute in urban and
rural areas while ensuring public safety and efficiency of the transport system as a

whole.

SECTION 3. Section 3 of Republic Act No. 4136, or the “Land Transportation and
Traffic Code” is hereby amended as follows:
“Section 3. Words and phrases defined.- As used in this Act:
“(a) “Motor Vehicle” x x x


XXX
“(m) “Tourist” x x x

(N) MOTORCYCLES FOR HIRE - SHALL MEAN ANY TWO-
WHEELED MOTOR VEHICLE WHICH IS REGISTERED WITH THE
LAND TRANSPORTATION OFFICE (LTO) OR THE LAND
TRANSPORTATION FRANCHISING AND REGULATORY BOARD
(LTFRB), AS THE CASE MAY BE, WHICH TRANSPORTS
PASSENGERS AND GOODS ON A FOR HIRE BASIS, AND WHICH
MAY UTILIZE ONLINE RIDE HAILING OR PRE-ARRANGED
TRANSPORTATION PLATFORMS: PROVIDED, THAT THE
MOTORCYCLE SHALL WEIGH LESS THAN ONE THOUSAND
KILOGRAMS (1,000 KG), CAN TRAVEL FASTER THAN FIFTY
KILOMETERS PER HOUR (50 KM/H), AND HAS A MINIMUM
ENGINE DISPLACEMENT OF 125 CUBIC CENTIMETERS (125 CM’)
AND A BACKBONE TYPE BUILD.”

SECTION 4, Section 7 (d) of Republic Act No. 4136 is hereby amended to read as
follows
“Section 7. Registration Classification.- Every motor vehicle
shall be registered under one of the following described classifications.

(a) xxx
(b) xxx
(xxx

(d) Public utility automobiles; (e) public utility trucks; (f) taxis
and auto-calesas; (g) garage automobiles; (h) hire trucks; [and] (j)
trucks owned by contractor and customs brokers and customs agends
[]; AND (K) MOTORCYCLES-FOR-HIRE. Application for registration
under these classifications shall be accompanied by a certificate of
public conveyance or a special permit issued by the LAND
TRANSPORTATION FRANCHISING AND REGULATORY BOARD
[Public-Services-Commission], and motor vehicles registered under
these classifications shall be subject to the Public Services Law, rules

and regulations, as well as the provisions of this Act.


XXX,
The succeeding sections shall be renumbered accordingly.

SECTION 5. Liability and Diligence Required. — Motorcycles-for-hire are hereby
declared as common carriers for purposes of determining the liability and degree of
diligence that must be observed in the course of transporting passengers or goods,

and the presumption of negligence in breach of contract shall likewise apply to them.

SECTION 6. Roadworthiness of Motorcycles for Hire. - The LTO and LTFRB, as
the case may be, shall ensure the roadworthiness of motorcycles-for-hire before
registration or renewal of registration. To further ensure safety, no modifications shall
be made on motorcycles-for-hire, except the installation, based on safe engineering
design specifications, of motorcycle luggage carrier, saddlebag, stepboard or foot

peg and appropriate speed limiter and monitoring device

SECTION 7. Issuance of Driver’s License. — Pursuant to Section 23-A of Republic
Act No. 4136, as amended by Republic Act No. 10930, the LTO shall promulgate the
necessary prerequisites and guidelines for the issuance of professional licences to
the driver-applicants, including the theoretical and practical examinations appropriate
for motorcycles for hire. The LTO shall also ensure the continuous safety training of
licensed drivers of motorcycles-for-hire.

SECTION 8. Fare Setting. — The LTFRB shall determine, prescribe, approve and
periodically review and adjust reasonable fares, rates, and other related charges for
the operation of motorcycles for hire. The LTFRB may allow motorcycles-for-hire to
choose and use online ride-hailing platforms or pre-arranged transportation
platforms, accredited by the proper government agency under the applicable laws
and rules and regulations: Provided, That such online ride-hailing platforms or pre-
arranged transportation platforms shalll provide a fare estimator that enables users to
estimate the cost of a trip, and issue an electronic receipt afterwards.

SECTION 9. Prescribing of Routes. — In prescribing routes for motorcycles-for-
hire, the Department of Transportation and the LTFRB shall give priority to higher-
capacity vehicles or mass transit systems in accordance with route rationalization


studies. Motorcycles-for-hire may be allowed to operate for a limited period, with
limited number of units, and in specific routes only, as may be determined by the
DOTr and the LTFRB in coordination with concerned local government units:
Provided, That specific routes shall not be prescribed for motorcycles-for-hire which
utilize online ride-hailing or pre-arranged platforms

SECTION 10. Penalties. - The operations of motorcycles-for-hire in violation of this
Act shall be penalized pursuant to the violations and applicable fines and penalties
provided under existing laws and agency regulations: Provided, That companies or
officers or directors thereof, providing online ride-hailing or pre-arranged
transportation platforms involving motorcycles without a valid franchise, shall have
solidary liability and shall be penalized accordingly.

SECTION 11. Implementing Rules and Regulations. - The DOTr, LTO, and
LTFRB, in coordination with the Metro Manila Development Authority, Department of
Interior and Local Government, Philippine National Police-Highway Patrol Group,
Department of Health, and other agencies and stakeholders shall promulgate the
necessary implementing rules and regulations (IRR) within sixty (60) days from the
effectivity of this Act

The IRR shall include, among others, the limitation on the number of riders
and weight or load capacity that can be certified as safe by the manufacturers, which
shall be indicated on the motorcycles; the applicable speed limits; the road safety
and traffic laws and regulations that need to be complied with, the necessary
insurance policy covering the driver, rider, and third parties, including extent of
liability; and other requirements for the safety, security, and health of the driver and
rider, which shall include a zero tolerance for drugs and alcohol policy.

SECTION 12. Separability Clause. — Should any provision herein be declared
unconstitutional, the same shall not affect the validity of the other provisions of this
Act.


SECTION 13. Repealing Clause. - Alll laws, decrees, orders, rules, and regulations
or other issuances or parts inconsistent with the provisions of this Act are hereby
repealed, amended, or modified accordingly.

SECTION 14. Effectivity Clause. — This Act shall take effect in fifteen (15) days
after publication in the Official Gazette or in one (1) newspaper of general circulation

in the Philippines.

Approved,