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LTFRB stands firm vs Grab, Uber but clarifies services not suspended

Only those with Provisional Authority or Certificate of Public Convenience can operate
/ 01:11 PM July 18, 2017

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The Land Transportation Franchising and Regulatory Board (LTFRB) stood by its decision to go after Uber and Grab operators who continue to operate without franchise despite online petitions against it.

The LTFRB clarified that it has not suspended the services of Transportation Network Companies (TNCs) such as Uber and Grab but only those with Provisional Authority (PA) or Certificate of Public Convenience (CPC) would be allowed to operate.

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“The TNCs agreed to fully comply with the rules at the time they were granted accreditation. With their open and candid admission, it is clear that they have broken those rules grossly, putting at risk the tens of thousands of TNV’s without PA or franchise to commit colorum activities,” LTFRB Chairman Martin B. Delgra III said in a statement on Tuesday .

The LTFRB earlier slapped a P5 million fine each for Uber and Grab for allowing some of their drivers to operate without permits and ordered the suspension of more than 50,000 ‘colorum’ drivers.

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More than 20 Transport Network Vehicle Services (TNVS), the agency said, have so far been apprehended for operating without a franchise.

READ: Ejercito hits LTFRB for stopping Grab, Uber ‘that provide better services’

“We cannot have one rule regarding colorum for them and another rule for the rest of the modes of public transport, i.e. bus, UV express, taxi and PUJ. Where service is imbued with public interest, no less than the safety and welfare of the riding public is concerned, regulations become priority,” Delgra said.

He said the TNCs should also show “good faith” first by following the orders while the LTRFB creates a Technical Working Group (TWG) to discuss issues such as accreditation and pending applications, and “the core issues of accountability and dynamic pricing scheme as a way to move things forward.”

“Right now, they are not cooperating,” the official said.

While the TWG would help address the demand for such mode of public transport in a “rational, comprehensive and systematic manner,” Delgra said they expect the TNCs to be “candid, accurate, complete and transparent in submitting all the data and information the Board will need in addressing the issues.”

A petition led by TNC driver Bobby Coronel on the website change.org, called on the LTFRB to ‘lift the suspension” on colorum drivers, citing the growing demand for TNCs services.

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“The demand for ride hailing services continues to grow….We cannot imagine a Philippines without ride-hailing services, can you?” Coronel said. Celine Amilhamja, INQUIRER.net trainee/JE/rga

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TAGS: franchise, Grab, LTFRB, taxi, Transportation Network Companies, Uber
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