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Grab stops P2 per minute travel charge


Grab Philippines said on Friday it has stopped the P2 per minute travel charge on the heels of an order by the Land Transportation Franchising and Regulatory Board (LTFRB).

“Itinigil na po namin ‘yung pag-charge ng per minute as of 12 midnight,” Brian Cu, country head of Grab Philippines said in an interview on “Unang Balita.”

“Ngayon, ang components ng ating fares na nakikita sa Grab app ay ang per kilometer na lang at ang base fare pati na rin ang surge,” he said.

Cu noted that Grab Philippines is planning to file a motion for reconsideration, saying the company believes the transport sector will benefit from the P2 per minute travel charge.

Cu cited the Department of Transportation and Communications’ (DOTC) Department Order 2015-011 which supposedly authorized transport network companies (TNCs) to set their own fare structure with the LTFRB having regulatory oversight.

However, he said the omnibus franchising guidelines issued in August 2017 required TNCs to seek prior approval from the LTFRB.

Cu noted his main concern now is that drivers will not earn enough without the P2 per minute travel charge.

“Ayoko nang isipin kasi nakakatakot “yung mga posibleng mangyari kung hindi namin ipinatupad ito. Baka ma-fine kami, ma-suspend kami. And ang pinakaimportante for Grab is the livelihood of our partners and providing the quality service to our passengers.”

“Ngayon, kung ma-suspend kami, we won’t be able to do both. So better we comply and find ways na lang to work with the LTFRB para maibalik ‘yung per minute,” Cu said.

Cu also replied to riders’ complaints saying Grab’s surge charge rose after the acquisition of Uber. “Ang pagtaas po ng surge ay dahil sa supply and demand. Maaari na umakyat ang surge sa mga dating nag-ga-Grab na nasanay sa certain price dahil kulang ang mga sasakyan. Kulang ang mga sasakyan dahil lahat ng Uber passengers lumipat sa Grab pero hindi lahat ng Uber vehicles lumipat sa Grab.”

He said Grab was not able to absorb the 6,000 active Uber vehicles because they are not on the LTFRB master list.

Cu welcomed the approval of ride-sharing apps Hype and HirNa as symbolizing healthy competition. —VDS, GMA News