No Grab Fare Increase – LTFRB

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With the movement of Uber out of South East Asia and their handover of their operations in the region to Grab, the Philippines now has, effectively, only one ride-hailing application company servicing the needs of the market that used to be dominated by the Silicon Valley outfit.

This has raised concern over how Grab may run the business because there is no more alternative to them and they might decide to raise their fare prices. Grab has recently been more expensive than Uber by an average of P80.00 per destination.

But LTFRB Board Member Atty. Aileen Lizada has assured the public that they are closely monitoring the developments and said that Grab cannot raise their fare prices as it has been regulated by her office from the moment they took jurisdiction over ride-hailing app companies or Transport Network Companies (TNC’s).

Lizada also said there are three TNC’s that have filed their application papers and are up for accreditation.  “There are three (3) TNC’s up for accreditation and Grab cannot just increase their fares on their own,” Lizada told Autocar PH in a Viber interview.

As far as the drivers and cars that used to service Uber, Lizada said there is no problem because these drivers register with LTFRB for a pool of TNVS drivers. This is where the new TNC’s will source their drivers once LTFRB has issued them accreditation.

Grab has already issued a statement regarding the drivers unique to Uber and how they can be accommodated into the Grab pool once the Uber app finally closes down in the Philippines. Uber said they will cease to operate on April 8, 2018 in the Philippines, but the Uber app can still be used in 80 other countries worldwide.

Lizada explained to Autocar PH the steps that unique Uber drivers have to take to be included in the Grab list of drivers. She said Uber drivers must proceed to the Megatent in Libis where Grab is receiving Uber drivers. The process is as follows:

  1. Uber peers/drivers apply via Megatent or DSS/online
  2. Presentation of OR/CR and Professional Drivers License which will be verified and Uber app should be presented
  3. After verification is done, the drivers proceed to Megatent for training
  4. Grab will then activate those who are confirmed by LTFRB to be on the list

Only those in the TNVS list of drivers that LTFRB provides all TNC’s will be allowed to drive for any ride-hailing app as per implementing rules that were approved last year.

“As long as they are in the masterllist, they will be processed, Uber TNVS will be processed. Sa TNVS naman po ang prangkisa, wala naman kaming brand, whatever TNC you belong to, as long as you are in the masterlist you will be processed…and Grab knows kung sino ang nasa masterlist, both TNC’s know,” explained Lizada.

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