Grab eyes lowering cap on surge pricing during the holidays

Grab Philippines said on Monday that it might lower its surge pricing cap at the start of the Christmas season to meet passenger demand.

Leo Gonzales, Grab Philippines public affairs, said during the launch of a safety roadmap that the surge rate of the ride hailing company may be as low as 1.4 times during the holiday season.

“If you see that prices are always surging due to the lack of supply (of cars) and the high demand (from passengers),” Gonzales said. “We want to manage expectations of our passengers.”

In September, the Grab lowered their surge cap to 1.6 times following the approval of the Land Transportation Franchising and Regulatory Board (LTFRB) of the P2-per-minute travel charge for all ride-hailing firms.

According to the Grab, this is meant to allow the public adjust to the new fare structure of the company. /ee

READ: Grab, Owto, Hype allowed to charge P2 per minute travel fee