To effectively satisfy public need and convenience, the Board in accordance with the objectives of the Public Service Act, consistently with the DOTC’s policy of limited liberalization within the context of existing laws, and pursuant to its powers and functions under Section 5 of Executive Order No. 202 creating the LTFRB, hereby authorizes holders of valid and subsisting certificates of public convenience for the operation of regular (ordinary), first class and air-conditioned bus services to temporarily divert their duly authorized and registered buses from one authorized line to another authorized line without abandoning their service on the lines from where their buses are withdrawn and diverted to their other authorized lines where the volume of passenger traffic is particularly heavy requiring additional units, in order to allow them flexibility in meeting the exigencies of passenger demand.

This memorandum circular is without prejudice to the exercises by the Board of its powers under Section 17 of the Public Service Act to protect the commuting public and to insure that public service is not adversely affected by the flexibility in bus operations authorized under this circular.

This memorandum circular takes effect immediately.

Adopted: 15 May 1991