TNVS, otherwise known as the Transportation Network Vehicle Service, is a revolutionary mode of transportation that has recently taken center stage, thanks to the efficient and innovative way it transformed the way people commute. It’s also a ride-hailing service offered by the Transportation Network Company (TNC) via the private vehicles registered under them. In essence, TNVS refers to the specific service offered within a TNC platform for drivers and their vehicles. The distinction is important, especially in regulatory contexts, as regulations may apply to both TNCs and TNVS separately.
All Transportation Network Vehicle Service (TNVS) operate through smartphone applications managed by TNCs in order to connect passengers with accredited private vehicles and drivers. Popular platforms like Grab and Uber (now merged with Grab), as well as Angkas, Joyride and MoveIt have all become household names, providing Filipinos with a reliable means of transportation at their fingertips. This innovative system has transformed the way people commute, offering options towards convenient and efficient alternatives to traditional taxis.
What is TNVS Meaning?
TNVS or Transportation Network Vehicle Service (TNVS) refers to the innovative ride-hailing system offered by Transportation Network Companies (TNCs) in the country. There are different kinds of TNVS, ranging from Grab which offers car and taxi services as well as Angkas and Joyride which offers motorcycle rides.
All TNVS operate using smartphone applications, making it easy for passengers to find drivers who are willing to drive them to wherever they want to go.
TNVS vs TNC
Transportation Network Companies (TNCs) and Transportation Network Vehicle Services (TNVS) are closely related terms often used in the context of the evolving transportation industry, particularly in the ride-hailing sector. They are, however, quite different from each other. TNC is a broader term encompassing the entire platform or company, while TNVS is a specific service within that platform involving drivers and their vehicles.
Transportation Network Company (TNC) refers to the company or platform that connects passengers with drivers using a digital network. It is the TNCs that provide the technological infrastructure, such as mobile applications, that enables users to request rides and drivers to accept those requests. On the other hand, Transportation Network Vehicle Service (TNVS) refers to the specific service or category of vehicles that operate under a TNC. In many cases, TNVS drivers are individuals who register with TNCs to use their personal vehicles to offer transportation services.
The rise of Transportation Network Vehicle Services (TNVS) has brought about several benefits, reshaping the transportation landscape in various ways:
TNVS platforms provide a convenient and user-friendly way for passengers to request rides through mobile applications. This eliminates the need to hail taxis on the street, offering a seamless and efficient booking process.
TNVS increases accessibility to transportation services, especially in areas where traditional taxis might be scarce. Passengers can easily access rides in both urban and suburban areas, contributing to improved mobility.
3. Safety and Security
TNVS platforms enhance passenger safety by providing information about the driver and the vehicle before the ride. This transparency helps build trust between passengers and drivers, fostering a sense of security during the journey.
4. Flexible Employment
TNVS has created opportunities for individuals to earn income through flexible employment. Drivers can choose their working hours, making it a viable option for those seeking part-time or supplementary income.
5. Reduced Cash Transactions
TNVS transactions are primarily cashless, reducing the risks associated with carrying cash during rides. This cashless system adds a layer of security for both passengers and drivers.
6. Quality of Service
TNVS platforms often have rating systems for both drivers and passengers. This encourages good behavior, maintains service quality, and creates accountability within the system.
7. Fair Pricing
TNVS often employs transparent and upfront pricing models. Passengers can see the estimated fare before confirming the ride, avoiding potential fare disputes. This transparency contributes to a fair and predictable pricing structure.
8. Technological Advancements
TNVS leverages technological advancements, such as GPS tracking and real-time updates, improving the overall efficiency of the transportation service. Passengers can track their ride in real-time and receive timely updates.
9. Reduced Congestion
TNVS can contribute to reduced traffic congestion by optimizing routes and providing shared ride options. This can have positive environmental impacts and improve overall traffic flow in urban areas.
10. Innovation in Transportation
TNVS represents a significant innovation in the transportation industry, challenging traditional taxi services and encouraging continuous improvements in service quality and efficiency.
These benefits collectively make TNVS an attractive and popular choice for both passengers and drivers, contributing to the evolution of modern urban transportation.
How does TNVS Work
One key advantage of TNVS is the ease of use. Passengers can simply open the app, input their destination, and wait for a nearby driver to accept the ride request. This not only eliminates the hassle of flagging down a cab but also provides a sense of security as passengers receive information about the driver and vehicle beforehand.
For drivers, TNVS offers an opportunity for flexible employment. Many individuals opt for part-time or full-time driving, contributing to the growing gig economy. This flexibility has empowered countless Filipinos to earn a livelihood on their own terms, whether as a primary occupation or a supplementary source of income.
Fare Rates For Transportation Network Vehicle Services (TNVS)
According to Memorandum Circular 2019-036, the following matrix shows the TNVS fares as approved by the LTFRB:
|HATCHBACK/SUB-COMPАСТ (>1200 cc.)
|up to P40.00
|up to P50.00
|up to P30.00
|Fare/minute of travel
|Surge (on B+C)
TNVS Fare Regulation
Thanks to the power vested in the Land Transportation Franchising and Regulatory Board (LTFRB) by Executive Order No. 202 and Commonwealth Act 146, the agency has the authority to determine and fix fares—a crucial role that ensures fairness in TNVS fare regulations.
That said, despite having the Department Order No. 2015-011 granting TNCs fare-setting authority, the LTFRB gets the oversight role to prevent regulatory lapses. Fare rates for TNVS must then be authorized by the LTFRB, in order to strike a balance between fair compensation for service providers and protection against excessive charges.
Grantees of Certificates of Public Convenience (CPC) for operating TNVS must adhere to the fare rates specified above, following the regulations of the Board, the provisions of the Public Service Law (C.A. 146), as amended, and meeting the requirements for public transport services.
Any failure to comply with the established fare rates approved by the LTFRB for TNVS vehicles will incur penalties in accordance with Joint Administrative Order No. 2014-001,—an LTFRB issuance which outlines the revised schedule of fines and penalties for violations of laws, rules, and regulations governing land transportation.
The rise of TNVS, despite being well-accepted, has not been without challenges. Regulatory issues, fare disputes, and competition with traditional taxis have sparked debates within the transportation industry. The government even suspended some permits to operate as it struggled to implement guidelines and requirements to address these concerns, ensuring the safety and well-being of both drivers and passengers.
Despite the challenges, TNVS has undeniably reshaped the transportation landscape in the Philippines. It has become an integral part of urban life, offering a reliable and efficient way for people to move around the ever-expanding cities. As technology continues to advance, the future of TNVS holds promise for further improvements, making commuting even more convenient for all.
Future Plans for TNVS in the Philippines
The Land Transportation Franchising and Regulatory Board (LTFRB) in the Philippines is addressing the public demand for alternatives in the Transportation Network Vehicle Service (TNVS) industry. The LTFRB has accredited three new Transport Network Companies (TNCs) and is reviewing additional applicants. Six new ride-hailing apps are set to operate in Metro Manila, including GoLag, HirNa, Hype, Micab, OWTO, and U-Hop.
These new players are anticipated to positively impact TNVS services. Each app offers unique features such as extended services in multiple areas, 24/7 customer support, diverse booking methods, and innovative fare structures. The apps are poised to introduce exciting changes for online users, though some reservations persist, particularly regarding the use of taxi meters for fare calculation. The addition of an SMS booking feature is seen as favorable for offline commuters.
The future of TNVS in the Philippines holds promise with the introduction of these new players, expanding choices for users and potentially transforming the landscape of ride-hailing services.
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The Transportation Network Vehicle Service (TNVS) have long gained prominence in the Philippines, but the discussions related to the regulation and accreditation of these ride-hailing services have only been established recently. Government regulations have only recently outlined the requirements for vehicles and drivers operating under TNVS, ensuring safety standards and proper licensing.
Nevertheless, the presence of TNVS, along with the TNVS drivers and vehicles, has indeed transformed urban transportation, providing efficient alternatives. With further improvements as technology evolves, commuting may be even more convenient, but for now, the safety standards and proper licensing in the TNVS sector should be enough.