LTO to impose cap on driving schools’ fees starting April 15

MANILA, Philippines — The Land Transportation Office (LTO) on Wednesday said that it will start imposing caps on driving school fees nationwide starting April 15, limiting it to P3,500 for motorcycles and P5,000 for light vehicles.

“[Ito ay] tugon sa apila ng ating mga kababayan na na nabibigitan na po sa mataas at ibang-ibang presyo na sinsiignil ng mga driving school,” said LTO chief JayArt Tugade in a press briefing.

(This is a response to the appeal of our countrymen who are burdened by the high and inconsistent prices charged by driving schools.)

“Ito pong omnibus guidelines will be effective on April 15, 2023,” he added.

(These omnibus guidelines will be effective on April 15, 2023.)

According to Tugade, the maximum total prescribed fee for the motorcycle course (license codes A and A1) is P3,500, or P1,000 for the theoretical driving course (TDC) and P2,500 for the practical driving course (PDC).

Meanwhile, the maximum total prescribed fee for the light vehicle course (license codes B, B1, and B2) is P5,000, or P1,000 for the TDC and P4,000 for the PDC.

But Tugade reminded aspiring drivers that theoretical driving courses are also available at LTO’s regional offices for free.

Meanwhile, driving schools’ failure to comply would result in the following penalties:

• 1st offense: P50,000 fine and suspension of six months
• 2nd offense: P100,000 fine and one year suspension
• 3rd offense: revocation of accreditation issued to the driving school

“The rates were computed to make sure that driving institutions still get a fair return of investments and at the same time make it affordable to the public,” said Tugade during the press briefing.

When asked how the new rates will be implemented especially in driving schools offering “masteral classes” or using bigger cars or Sports Utility Vehicles (SUVs), Tugade told reporters that it would still have to follow the new guidelines on the maximum prescribed fee, as the agency does not require institutions to use SUVs.

In a separate statement, Tugade said that aside from the prescribed maximum rates, accredited driving institutions are now also required to hold the mandatory 15-hour TDCs in two days — seven hours on the first day and eight hours on the second day.

Meanwhile, the practical driving instructions shall not be less than eight hours per driver’s license code applied for.

“PDC for light and heavy vehicles shall be conducted for at least two days while 8-hour PDC for motorcycles may be conducted in one day, provided that the student-driver has proven to have already acquired the knowledge based on the assessment by a practical driving instructor,” the memorandum circular stated.

Furthermore, to address the issue of “non-appearance” by some applicants, driving institutions are now also required to enroll the details of their clients to the LTO System through the Land Transportation Management System (LTMS) Client ID to log the starting date of their driving course.

“Registration of his/her biometrics before and after every session for attendance purposes is required. The Driving Institution shall provide and maintain an attendance sheet to record the actual presence of the applicant during the conduct of the face-to-face TDC and written examination or validation,” it added.

A Certificate of Course Completion will then be issued to the applicant and shall be electronically transmitted in real-time to the LTMS through the Driving Institution Portal upon finishing their driving courses.

Moratorium on opening driving schools lifted

Tugade in the same briefing also announced that starting Thursday, March 23, the moratorium (temporary prohibition) on applications to open new driving schools has been lifted.

“Starting tomorrow, moratorium on driving schools lifted, lahat ng gustong mag-apply at lahat ng gustong magkaroon ng driving school pwedeng magapply sa respective regional offices,” he said.

(Starting tomorrow, the moratorium on driving schools will be lifted; everyone who wants to apply and everyone who wants to open a driving school can apply at the respective regional offices.)

According to LTO, the moratorium on applications opening new driving schools was implemented during the time of former LTO chief Teofilo Guadiz III, or when studies for the amended guidelines for driving institutions first began.

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