The implementation of the “maximum prescribed rates” for driving schools on April 15 will push through, the Land Transportation Office (LTO) said.

In a statement released on Thursday, March 30, the LTO said it has no plan to postpone the implementation of Memorandum Circular JMT-2023-2390 which seeks to set maximum fees that should be charged for both theoretical and practical driving courses.

LTO Chief Jayart Tugade emphasized that the new policy cannot be delayed any longer as it is the response to the growing public demand for a lower cost of obtaining a driver's license.

“Malabo na nating ipagpaliban pa ang implementasyon ng bagong driving school rates. Hindi pupuwedeng maging bingi ang LTO sa mga panawagan ng higit na nakararami laban sa napakamahal na bayarin sa mga driving school (It is unlikely that we will postpone the implementation of the new driving school rates. The LTO cannot turn a deaf ear to the calls of the majority against exorbitant driving school fees),” he said.

“Panahon na para maging abot-kaya sa publiko ang pagkuha ng driver’s license nang hindi nakokompromiso ang kalidad ng pagkatuto ng mga aplikante (It's time to lower the cost of getting a driver's license while maintaining the quality of the applicants' education),” he added.

The LTO maintained its stance on the maximum prices it has set for driving schools, noting that the price cap has been the subject of adequate consultation and a technical working group's (TWG’s) thorough cost research.

“In coming up with these rates, it was the objective of the LTO to lower the exorbitant fees charged by some driving schools but at the same time, to not to deprive the accredited driving school a reasonable rate of return on their investment,” said Tugade.

According to the LTO chief, the drafting of Memorandum Circular JMT-2023-2390 went through a series of consultations with driving schools.

“In fact, the expenditure items and the costs used by the TWG in its cost analysis to arrive at the prescribed maximum rates came from the driving schools. Contrary to the allegations that their inputs were disregarded or not considered by the LTO, the price of the TDC was increased based on their feedback,” he said.

Tugade said that the determination of whether the duration of eight hours is sufficient to produce a qualified driver ultimately falls within the competence of the LTO, adding that the ability of an applicant to drive safely is assessed during the practical examination administered by LTO driving skill raters.

Under the memorandum circular, private driving schools are only permitted to charge up to P1,000 for a theoretical driving course (TDC) and P2,500 to P8,000 for a practical driving course (PDC), depending on the kind of vehicle or license code the applicant plans to apply for.

As such, the memorandum stated that applicants can finish the required 15-hour theoretical driving training in two days rather than three to seven hours on the first day and eight hours on the following day—within a month.

As required by the license code, the practical driving training must last at least eight hours.

Earlier, the LTO was urged to postpone the implementation of Memorandum Circular JMT-2023-2390 by the Association of Accredited Driving Schools of the Philippines, Inc. (AADSPI).