The Philippines has made technology-based ridesharing services like Uber legal, providing a regulatory framework for them to operate in the country.
The Philippines’ Department of Transportation and Communications (DOTC) today enacts an order to create the new category of transport known as “Transportation Network Companies (TNCs),” which provide app-based services connecting private vehicle owners or drivers with people looking for a ride.
“We view technological innovation as a driver for progress, especially in transportation where it can provide safer and more convenient commuting options to the public. App-based transport services help address the increasing demand for mobility spurred by rapid urbanization,” says DOTC secretary Jun Abaya in a statement posted on the agency’s website.
The move essentially allows Uber and similar services to “exist within our regulatory framework,” adds Abaya.
Uber praises this “historic” development and says it makes the Philippines the first country to create a national dedicated framework for ridesharing. Uber offers peer-to-peer service UberX and limo-esque UberBlack in the Philippines. “This first-of-its-kind order is a shining example of how collaboration between government and industry can advance urban mobility, create new economic opportunity, and put rider safety first,” notes Uber senior vice president of policy and strategy David Plouffe.