A LOCAL taxi operators’ group has opposed a plan to deploy 600 electric vehicle (EV) taxis in Metro Cebu, citing concerns over market saturation and a lack of regulatory transparency.
The United Cebu Taxi Operators Association (UCTOA) challenged the 90-day provisional authority (PA) issued by the Land Transportation Franchising and Regulatory Board (LTFRB) to Green and Smart Mobility (GSM), a Vietnam-based ride-hailing service which is scheduled to launch
operations on Friday, Dec. 19, 2025.
UCTOA Chairman Richard Cabucos said in a phone interview Wednesday, Dec. 18, that GSM’s combined traditional and app-based booking system would harm the livelihoods of current franchise holders.
Cabucos raised concerns over the use of provisional authority for the large-scale rollout, considering existing operators and drivers have complied with franchise requirements that he described as “lengthy and costly.”
“They rolled it out without following the proper procedures. They went ahead without consulting Cebu-based operators like us, who have been operating and surviving here for many years,” Cabucos said.
Cabucos also raised the following points:
Driver Shortages: GSM’s massive hiring campaign has already depleted the driver pools of some local operators.
Infrastructure: Concerns remain over the long-term durability of EVs and the lack of charging infrastructure in Cebu.
Traffic Impact: Adding 600 units to a market that already has 6,200 taxis and 2,000 transport network vehicle service (TNVS) units will worsen traffic congestion.
Under Memorandum Circular No. 050, dated Nov. 18, the LTFRB opened additional taxi slots exclusively for EVs. The board approved 8,000 units for Metro Manila and 600 each for Metro Cebu and Metro Davao.
GSM plans to use VinFast VF 5 models, which are compact electric vehicles with a 326-kilometer range.
Cabucos urged the LTFRB to prioritize helping existing operators substitute older units with EVs or hybrid vehicles instead of approving new slots.
He suggested that if the rollout proceeds, GSM should be limited to a hailing-app setup, similar to a TNVS, rather than a traditional metered franchise. / EHP