Getting a temporary permission to drive a private car as a for-hire vehicle in the form of a Provisional Authority (PA), needs approval from the Land Transportation Franchising and Regulatory Board (LTFRB). A PA is temporary and given after a careful check to ensure safety and reliability. It’s like a temporary license valid until the real one comes through. It’s necessary for people who want to use their cars to work as taxis or trucks while they wait for the official LTFRB permission otherwise known as the Certificate of Public Convenience (CPC) or franchise.
A Provisional Authority is like a short-term license that lets you operate your vehicle publicly. For instance, if you want to use your truck for hire or offer rideshare services like Grab, you’ll need this permit. But remember, it’s not a permanent solution. Before getting a PA, you need to apply for a regular license. The PA is only valid for three months to one year, and you can renew it just once.
What’s a Provisional Authority (PA)?
A Provisional Authority (PA) is a temporary permit allowing someone to use their car for hire while waiting for official approval. For example, if you want to drive for a ride-sharing app like Grab, you need this permit until you get your official franchise or CPC. But remember, it’s not a long-term solution. You must apply for an LTFRB franchise first as well before you can request for a PA. Plus, this temporary permit to operate as a public transport service only lasts a few months to a year. It can only be renewed once, with some exceptions, for an additional three months if requested.
Requirements
Before you start with the application process, you will first need to prepare the requirements. The Application for PA usually means that you need to prepare the following:
- Four (4) original copies of the Verified Application (the template is downloadable at www.ltfrb.gov.ph
- Photocopy of Official Receipt and Certificate of Registration (OR/CR). b If the unit is encumbered, an Affidavit of Undertaking that the CoC shall be submitted during the hearing.
- Proof of Filipino Citizenship, such as
- Birth Certificate,
- Passport,
- Voter’s ID, or
- any valid Government-issued Identification Card showing Citizenship, and
- Certificate of TNVS Enrolment/Registration issued by the Transport Network Companies (TNC).
- TNC’s Notarized Certification to ascertain the genuineness and authenticity of the documents submitted.
Additional Requirements
The following requirements are necessary for the application for CPC and must be submitted at least five (5) working days prior to the CPC hearing date:
- LTO-issued OR/CR or COC from the bank or financial institution if the unit is under financing
- Proof of Existence and Sufficiency of Garage. If the applicant is the owner of the garage, the Transfer Certificate of Title (TCT)/Tax Declaration in the name of the applicant is required; if not, provide a copy of TCT/Tax Declaration with Notarized Lease Contract or Notarized Authority to Use Garage with an ID of the Lessor.
- Proof of Financial Capability in the form of Proof of Bank Deposit in the amount of ₱20,000 per unit
- 5R photograph of units subject to the application (front, back, and sides of the vehicle), including the front page of a newspaper to show the date when the pictures were taken.
- DTI Certificate of Business Name Registration
- BIR Certificate of Registration to engage in Transport Service or Proof of Filing
- Certificate of Enrollment/Registration issued by the TNC
- Police and NBI Clearance of the authorized driver/s
- Proof of Publication
- Affidavit of Publication by the publisher
- Copies of Publication
- Affidavit of Attestation as to the authenticity of the documents submitted
How to Apply for Provisional Authority as an Individual Operator or as Part of a TNC
If you’re applying for a PA for yourself as an individual operator or as part of a ride-sharing app or Transport Network Company (TNC), you need to follow these steps:
Step 1. Make an appointment to apply for a provisional authority.
Step 2. Bring the required documents on the appointment day.
Step 3. Make sure to submit an Affidavit of Undertaking that the CoC shall be submitted during the hearing, and that non-compliance of this will be enough ground for dismissal of application for PA.
Step 4. After you apply, the Board will give you a temporary permit, usually with a validity of ninety (90) days. No Extension of Provisional Authority shall be issued unless the Application is submitted for resolution upon submission of all the documentary requirements.
Step 5. Once you have the PA and Passenger Insurance Policy, then you may attend your TNC’s onboarding.
Step 6. You will also need to attend a CPC hearing about getting your official license along with an official representative from the TNC you intend to join.
Remember, the slots for applications are limited, and you can only apply for three units. Also, your chosen TNC will help you with the process, but you need to make sure all your documents are genuine.
Validity Guidelines for Securing PA under the PUVMP
The validity of the provisional authority is covered by the rules related to the Public Utility Vehicle Modernization Program (PUVMP) as outlined in Memorandum Circular (MC) 2023-051, dated December 14, 2023.
Using Provisional Authority for Modernizing Public Transport
Under the PUVMP, there are rules about how long the PA can be used. If you applied before a certain date, you can keep using it until the end of next year or until you get your real license, whichever happens first. If you didn’t apply in time, your permit will be canceled from the start of the year.
For Consolidated Transport Service Entities (TSEs) and Individual Operators
- If they applied to join a TSE before December 31, 2023, can continue working with their temporary permits until December 31, 2024, or until they receive their official license, whichever comes first.
- The previous system of replacing old vehicles every 6, 9, or 12 months is no longer in effect, with new rules to be decided by the Department of Transportation (DOTr) or LTFRB.
- The requirement of having 15 OFG-compliant vehicles for a license is no longer necessary. Consolidated TSEs can obtain a new license or Provisional Authority (PA) by submitting their Formal Offer of Evidence (FOE) and required documents.
For Routes Without Consolidated TSEs
- Temporary permits given to individual drivers on routes without consolidated TSEs will be canceled from January 1, 2024.
- Drivers on these routes cannot register their cars as public transport anymore and will receive a Show Cause Order while the LTFRB establishes new rules to ensure adequate public transport service.
For People Applying to Join Ride-Sharing Apps
- Applicants interested in joining ride-sharing apps must submit all required documents for CPC application to their preferred TNC.
- They can then apply for provisional authority while waiting for the CPC to be issued.
Video: Renewing Your Provisional Authority
Yes, you can renew your PA provided that you satisfy the requirements and follow the proper procedures. To learn more about these things, you may check out this video from Kuys TV:
Important Reminders
Aside from the information listed above, here are some things you need to remember when securing a PA as an individual operator or as a TNC applicant:
- Slots for applying are given on a first-come, first-served basis at the LTFRB Technical Division.
- Each ride-sharing company can sign up 100 people per day.
- After signing up, payment and paperwork must be done within two days.
- Applicants need to join an approved ride-sharing company.
- The chosen ride-sharing company handles the paperwork for getting the official license.
- Each person can apply for up to three cars.
- The ride-sharing company helps with paperwork and checks it carefully.
- The ride-sharing company must confirm the documents are real before sending them to LTFRB.
- Only the official lawyer of the ride-sharing company can represent applicants.
Summary
The LTFRB Provisional Authority (PA) serves as a temporary permit allowing individuals to operate their private vehicles as for-hire transportation while awaiting official approval. It’s a temporary substitute for an LTFRB franchise, and only typically lasts for three months to one year, with the possibility of renewal once. If you need to learn more, you may refer to the rules and guidelines on PA issuance as outlined under the Public Utility Vehicle Modernization Program (PUVMP) and Memorandum Circular (MC) 2023-051.