Cebu City Mayor Proposes EV Taxi Moratorium, Pushes for Franchise Renewal Transition
Cebu Mayor Seeks Moratorium on New EV Taxis

Cebu City's local government is open to the introduction of electric vehicle (EV) taxis within the metropolis but is calling for a careful assessment of their potential impact on traffic congestion and existing operators before a full rollout.

Mayor Advocates for Phased Transition Through Renewals

During a press conference on Monday, December 22, 2025, Cebu City Mayor Nestor Archival expressed his agreement with the shift towards EV taxis. However, he suggested a temporary moratorium or halt on approving new units. This stance comes amid negotiations concerning the planned deployment of 600 EV taxi units in Metro Cebu by Green and Smart Mobility (GSM), a Vietnam-based ride-hailing service.

Archival proposed that instead of opening new slots for operators, the integration of EVs into the taxi sector should occur through the renewal of existing franchises. He plans to request the Land Transportation Franchising and Regulatory Board (LTFRB) and the Land Transportation Office (LTO) to mandate the use of electric vehicles when taxi franchises come up for renewal, as part of a gradual transition.

"During the renewal of franchises, if possible, I want to request that EVs be used," Archival stated.

Proposed Moratorium for Impact Study

The mayor also mentioned that he had discussed with Vice Mayor Tomas "Tommy" Osmeña the option of requesting a moratorium of at least one year on the issuance of new taxi units, including EV taxis. This period would allow regulators and the local government time to study the effects on traffic, current operators, and commuters.

"We don't know how long this will be, but in my view, this is the best course of action," Archival said regarding the suggested moratorium. Known as an environmentalist, Archival believes the transition to EVs is inevitable but must be managed properly.

Regulatory Hurdles and Postponed Hearing

His comments were made against the backdrop of a suspended provisional authority that would have allowed GSM to deploy its 600 EV units, pending a public consultation set for January 2026. Cebu Governor Pamela Baricuatro had previously opposed the rollout, citing concerns over the regulatory process, traffic conditions, and the impact on existing taxi operators.

The regulatory process has hit a snag. The LTFRB 7 franchise hearing for the Metro Cebu EV taxis has been moved to January 15, 2026. This postponement occurred after the applicant, GSM, failed to fully comply with the mandatory publication requirement for the Notice of Hearing.

In an interview on Tuesday, December 23, 2025, LTFRB 7 Acting Chief Transportation Officer Edwin Antepuesto explained that although the applicant showed evidence the notice was published on Monday, December 22, it did not meet the required five-day advance notice period. "This is just a preliminary matter," Antepuesto said, adding that the commission cannot proceed with the hearing unless the publication requirement is completely fulfilled.

The LTFRB has not yet responded to Mayor Archival's suggestion for a moratorium or clarified if EV deployment could be limited to franchise renewals instead of new slots.