LTFRB Fare Increase for Provincial Aircon Buses 2005

The Decision authorizes provincial PUB air-conditioned bus operators to increase fares from the prior across-the-board rate.
The authorized fare rates apply to AIR-CONDITIONED buses divided into four fare categories based on seating layout and amenities.
The Decision addresses all franchised air-conditioned bus operators that benefit from the grant of authority to increase fares.
The Decision includes passenger protection rules covering elderly, disabled, students, and children three (3) feet and below riding with an adult companion.

The Decision authorizes an increase from the across-the-board rate of P1.10/km to a categorized fare structure per kilometer.
Regular Air-Con Bus (2x2 and 2x3 seating layout without amenities): P1.35 per km.
De Luxe Air-Con Bus (2x2 and 2x3 seating layout with amenities): P1.45 per km.
Super Deluxe Air-Con Bus (2x2 seating layout of not more than 40 passenger with amenities): P1.55 per km.
Luxury Air-Con Bus (1x2 or 1x1 seating layout with not more than 33 passengers with amenities and comfort room and steward or stewardess): P2.00 per km.

All franchised air-conditioned bus operators that benefit from the Decision are deemed to have applied for a fare increase and must pay the LTFRB the corresponding filing fees:
- P520.00 per case number (inclusive of one (1) original copy of a certification of approved fare), plus P50.00 per authorized unit under that case number.
Operators must submit, upon filing of the written request for certification, their list of buses with their corresponding plate numbers per class/category as stated in the Decision.
Operators must post in conspicuous places inside their buses and terminals or stations the approved fare certification for the information of the riding public to avoid disputes with drivers and conductors.
Overchanging (charging higher than authorized) and/or undercharging (charging lower than authorized) are governed by the penalties prescribed by existing laws, rules, regulations, and circulars on the matter.

Elderly, disabled, and students are entitled to a 20% discount on regular fares upon presentation of their duly issued Identification Cards (IDs).
Children three (3) feet and below ride free of charge when riding provincial PUB air-conditioned service with an adult companion.
Operators must not force or coerce children three (3) feet and below to sit on the lap of the adult companion for safety purposes.
Operators are required to provide a measuring device (e.g., tape measure, yardstick, and the like) at the vehicle entrance to serve as a guide for the “three (3) feet and below” rule.

Operators and conductors must credit passengers who were previously charged a higher rate than the prior authorized rate of P1.10/km.
The credit must be applied in the passengers’ next purchase of bus air-conditioned tickets.
Credit applies only if the passenger presents the actual tickets issued reflecting the unauthorized increase of fare.
Credit covers only tickets previously issued by operators/conductors on May 27, 2004 onward up to the last day prior to the effectivity of this Decision.
Operators must carry out the necessary credit procedures to facilitate implementation.
Failure to credit the overpayment to the next ticket purchase of affected passengers results in a P5,000.00 penalty to be paid by the operator.

Failure to comply with the requirement to post the approved fare certification subjects the operator to a penalty of P2,500.00.
Failure to give the 20% discounts to elderly, disabled, and students subjects erring drivers and operators to fines and penalties under LTFRB Memorandum Circular 2003-033 dated December 15, 2003 (Re: “GRANT OF FARE DISCOUNTS TO ELDERLY, DISABLED PERSONS and STUDENTS”):
- First Offense: P3,000.00
- Second Offense: P5,000.00
- Third Offense: Suspension of CPC for 60 days
- Fourth Offense: Cancellation of the CPC
Overchanging and/or undercharging is penalized under the penalties prescribed by existing laws, rules, regulations, and circulars on the matter.

The fare increase authorization is anchored on Section 16(c) of the Public Service Act and Section 5(c) of Executive Order No. 202.
The discount enforcement penalties expressly incorporate LTFRB Memorandum Circular 2003-033 dated December 15, 2003.
The Decision applies a transitory ticket-credit mechanism for overcharges collected from May 27, 2004 onward until the day before effectivity.
The Decision also imposes operational conditions (fee payments, posting, discounts, and measuring device requirements) that govern implementation immediately upon effectivity.