The Court of Appeals has sustained its earlier decision upholding the validity of a Land Transportation Franchising and Regulatory Board memorandum circular that compels all public utility buses in the country to install Global Positioning System devices to promote road safety.
In a five-page resolution, the CA’s Special Twelfth Division denied the motion for reconsideration filed by Nagkakaisang Samahan ng mga Nangangasiwa ng Panlalawigang Bus sa Pilipinas (formerly Provincial Bus Operators Association of the Philippines) seeking to set aside its earlier ruling declaring the LTFRB June and November 2015 circulars as constitutional.
“After a careful scrutiny of the arguments raised in the instant motion, this Court finds that the same must be denied for lack of merit. The instant motion does not raise new and substantial issues that would warrant the reversal of this Court’s decision,” the CA ruled.
In its Feb. 27 decision, the CA held that contrary to the claim of the petitioner that the project is arbitrary, the GPS project is based on a “well-thought out and carefully deliberated plan” by the LTFRB.
The CA also rejected the argument of the petitioners that an administrative issuance cannot amend an act of Congress.
The appellate court maintained that the power and authority of LTFRB to issue memorandum circulars is clearly provided under the Administrative Code of 1987.
“Comfort and convenience to persons and property in their charges as well as the safety of persons and property are within their areas of operation,” the court said.
Requiring operators to install GPS device in their units, the CA said, is within LTFRB’s power and functions to prescribe the appropriate terms and conditions for the grant of franchises to PUV operators.
The appellate court also rejected the arguments of the petitioners that the circulars in question were unfair and unreasonable because they penalized only the operators and not the drivers of the public utility buses.
The CA said the penalty being imposed is for the non-installation of the GPS device, which is clearly the responsibility of operators.
“The penalties for overspeeding or erring drivers, which is a different matter and not the subject of the questioned memorandum circulars, are governed by another laws, rules and regulations,” the court said.
The LTFRB said the overall objective of the GPS Project is to promote road safety and improve land transportation services.
Under the circulars, all bus operators are required to install and register GPS devices on their units. Operators are prohibited from allowing their buses to ply their routes if they know or have a reasonable belief that the GPS device is not functioning or defective.
Non-installation of the GPS device will be penalized at P5,000 per unit and an additional P1,000 per unit per month after a grace period of 30 days.