COMMUTERS in Cebu City recently got an unpleasant surprise at the ticket booth: a sudden 25 percent increase in van-for-hire fares. Now, the government is stepping in to hold those responsible accountable.
The Land Transportation Franchising and Regulatory Board (LTFRB) 7 has issued a formal "show cause order" to a van-for-hire unit. This comes after reports surfaced that drivers were charging passengers more than the legal limit at a popular mall terminal in Cebu City.
Caught in the act
LTFRB 7 Director Abosamen Matuan confirmed the move on Friday, March 13, 2026. He explained that enforcers took action after validating reports of overcharging.
While only one specific van belonging to a cooperative was caught during the inspection, officials believe other drivers may have hidden or stopped the practice once they realized undercover enforcers were in the area.
“Rest assured that this regional office will be responsive to the concerns being brought to us,” Matuan said.
The cost of the trip
The issue first came to light on Thursday, March 12, when passengers traveling between Cebu City and Lapu-Lapu City began complaining about the price hike.
Drivers were reportedly charging an extra P10 on top of the standard P40 fare for trips from a Cebu City mall to Barangay Pajac in Lapu-Lapu City. When investigators visited the terminal on Wednesday, March 11, they confirmed that fares had indeed jumped to P50. Drivers claimed the increase was necessary because of rising fuel prices.
Why it matters
According to the Department of Transportation (DOTr) and the LTFRB, drivers cannot simply decide to raise prices on their own. Even though fuel costs change, any change to the official fare matrix must be approved by the government first.
Under Republic Act 11314, also known as the Student Fare Discount Act, specific discounts must always be honored. Any operator who ignores the official price list is breaking the law. Director Matuan clarified that only the LTFRB has the power to change what passengers pay.
Penalties and next steps
The consequences for overcharging are serious. Operators found guilty face:
• Fines between P5,000 and P15,000
• Vehicle impoundment for 30 days
• The possible cancellation of their franchise (their license to operate)
The LTFRB is now waiting for the van operator to submit an explanation before deciding on the final punishment. In the meantime, the agency is urging the public to continue reporting any overcharging to the regional office to ensure fares stay fair for everyone. / DPC