Davao City Mandates Permits and Studies for Transport Initiatives
The City Government of Davao has issued a firm reminder that all entities and organizations planning or operating transport services within the city must secure necessary permits and back their operations with comprehensive transport studies. In a statement released on Friday, February 13, 2026, the local government emphasized that these studies are crucial to ensure any proposed system genuinely addresses the city's needs, serves commuters efficiently, and aligns with Davao City's overall mobility and traffic management plan.
The City Government welcomes constructive inputs, proposals, and transport studies from stakeholders. We remain open to collaboration and dialogue aimed at improving mobility and addressing the concerns of the public, the statement read. Groups seeking formal discussions or an official audience regarding transport-related proposals were advised to coordinate directly with the City Mayor's Office.
Green GSM Flagged for Permit Violations
This move highlights the city administration's push for evidence-based planning as new transport players enter Davao. Recently, the city government flagged Green GSM Philippines, the country's first all-electric taxi service provider, for allegedly operating without required local permits. According to the LGU, the company has yet to secure a business permit, locational clearance, and building permit. It also allegedly failed to obtain a recommendation from the City Transport and Traffic Management Board (CTTMB) and the Sangguniang Panlungsod for its franchise application with the Land Transportation Franchising and Regulatory Board (LTFRB), as mandated under Davao City's Comprehensive Transport and Traffic Code (Ordinance No. 0334-12).
While the City Government of Davao supports environmentally cleaner transportation, it will not tolerate any company that blatantly disregards local ordinances. Companies may choose to bypass regulations elsewhere, but such behavior will not be allowed in Davao City, the LGU stated. Until all required permits are secured, the city government maintains that the company's operations would be considered illegal. It also urged the Land Transportation Office (LTO) and the LTFRB to investigate the company's operations following its launch on December 15, 2025.
Green GSM officially launched in Davao City on December 15, rolling out 500 electric taxis manufactured by VinFast. The vehicles, designed for urban use, have a reported driving range of 326 kilometers and are equipped with driver-assist technology and modern infotainment systems. Units may be booked via a mobile app, hotline, designated pick-up points, or street hailing. Despite the city's disclosure, Green GSM has yet to issue a statement addressing the permit concerns as of press time.
Franchise Application Faces Oppositions
Meanwhile, the LTFRB-Davao Region confirmed that Green GSM's application for a Certificate of Public Convenience (CPC) remains pending after three oppositions were filed. Deanne Aubrey Salcedo, legal section assistant of LTFRB-Davao, said in a previous report that oppositions may be filed based on grounds provided under LTFRB rules. Two of the oppositions were filed locally, while one was submitted to the central office for resolution.
Earlier, City Councilor Temujin "Tek" Ocampo advised the company to consult the city government before deploying its 500 electric taxis, warning that the move could potentially worsen traffic congestion. Acting Mayor Sebastian "Baste" Duterte also stressed the need for compliance with all regulatory requirements before operations.
RideIT Secures Accreditation as a Transport Network Company
In contrast, another transport player, HAVE IT Software Company, operator of the ride-hailing platform RideIT, has successfully secured accreditation as a Transport Network Company (TNC). The LTFRB-Davao announced that the accreditation was granted through Board Resolution No. 005, Series of 2026, signed by LTFRB Chairman Atty. Vigor D. Mendoza II. The company was deemed qualified, financially capable, and compliant with requirements, earning a two-year TNC accreditation.
LTFRB-Davao Regional Director Nonito A. Llanos III stated that this move reflects the agency's support for innovative, technology-driven transport solutions that promote safe and regulated mobility. RideIT, launched in April 2025, features real-time tracking, in-app booking, and courier delivery services. The app was recognized as Most Innovative Startup during the 2025 Davao Startup Week. However, officials earlier noted that prior to accreditation, RideIT's operations were considered illegal under existing laws due to the absence of a franchise.
Background on Transport Developments in Davao
In related news, residents from Toril boarded the DC Buses for their inaugural trip on Friday, December 5, 2025, with other routes also beginning operations. Additionally, in 2025, members of the 20th City Council urged the LTFRB to include Davao City in the motorcycle taxi pilot study program, which currently covers Metro Manila, Cebu, and Cagayan de Oro. These developments underscore the city's ongoing efforts to enhance public transportation while enforcing strict regulatory standards to ensure safety and efficiency for all commuters.
