November 29, 2023

DOTr plans to implement cashless payment in public transport

By Glen S. Ramos

Manila – The Department of Transportation is planning to implement a cashless payment scheme for public transport through payment methods such as bank cards and mobile phones to further improve the present automated fare collection system (AFCS) in modern jeepneys, buses, and rail lines.

The DOTr are considering payment methods which include the use of quick response (QR) codes for mobile wallet applications, credit and debit cards, and near-field communications (NFC) technology in mobile devices such as smartwatches that may be used in buses, rail lines, and modern jeepneys.

The agency stated that the AFCS technology in the mass transit system expands the fare media the public can use, while offering a secure payment system, improved passenger convenience, and helps lessen card-issue and management costs for transit operators.

New methods of payment would expand the DOTr’s current efforts on using an automatic fare collection system (AFCS) public transport through its partnership with Landbank of the Philippines (Landbank) and the use of their Europay-Mastercard-Visa (EMV)-enabled bank cards in modern jeepneys.

DOTr launched the pilot production testing of the project last September 1, 2022 at the Parañaque Integrated Terminal Exchange (PITX).

The project aims to verify the entire AFCS under “real-time operating conditions” as well as its compatibility with the country’s mass transit system.

It would also establish end-to-end AFCS processing and help slowly familiarize the public with using EMV-compliant bank cards to pay their fares.