Senators call for probe of TNC franchising to avert ‘transport crisis’

A grounding of Uber and Grab vehicles, which many commuters have come to rely on, could lead to a “transport crisis,” Senate President Pro Tempore Ralph Recto warned on Wednesday. (File phot by EDWIN BACASMAS / Philippine Daily Inquirer)

The dispute over the franchise of providers of transportation network vehicle services (TNVS) might lead to a “transport crisis,” Senate Pro Tempore Ralph Recto warned on Wednesday, as Senators Joel Villanueva and Bam Aquino pressed for a Senate inquiry on the issue.

“In a mass transport-starved metropolis of 13 million, these ride-hailing companies provide a crucial service,” Recto warned in a statement issued on Wednesday.

“In terms of carrying capacity, these two exceed MRT’s daily ridership of 500,000,” he said, referring to transport network companies (TNCs) Grab Philippines and Uber.

For this reason, Recto urged Malacañang to treat the possible grounding of Uber and Grab cars in Metro Manila as a “transport crisis” comparable to a “total MRT breakdown or a paralyzing jeepney strike.”

Villanueva, meanwhile, filed a resolution calling for a Senate inquiry on the issue.

“We want to hear all the stakeholders to come up with the best solution to immediately address this problem,” Villanueva said in a statement. “At the end of the day, we hope that there will be a fair compromise between the government and the TNVS providers with the end goal of providing more convenient options to our daily commuters.”

Villanueva said one of the main issues that he wants to resolve was the “failure” of the majority of TNVS to acquire provisional authority or certificates of public convenience (CPC) from the LTFRB.

He cited Grab’s claim that, out of roughly 28,000 drivers, only about 4,000 Grab drivers had been granted a provisional authority or CPC. This, he said, meant that an estimated 72 percent of the TNVS could be considered “colorum.”

“We would like to know the reasons why the LTFRB has suddenly stopped granting permits to TNVS,” Villanueva said. “Aside from that, we are also interested at how the TNVS could present a way of utilizing underutilized resources which the government may see as a source for potential tax revenue.”

Aquino, chair of the Senate Committee on Science and Technology, backed the call for a probe, which he hoped would put an end to the conflict.

“Sa away na ito, ang mga nagko-commute at mga driver ang pinakatalo,” Aquino said in a statement. “All parties must sit down and iron this out.”

“Habang hindi pa naaayos ang mga regulasyon, publiko ang mapeperwisyo,” he added. “Dapat magkaroon ng kompromiso para sa kapakanan ng ating mananakay.”

Aquino said the Land Transportation Franchising and Regulatory Board (LTFRB) and transport network companies (TNCs) must find ways to reach a compromise and determine the best way forward for the welfare of commuters and drivers.

He has filed a bill that seeks to promote and encourage “new, affordable and safe” transportation options for the commuting public, like Uber and Grab.

According to Aquino, his measure also seeks to clarify regulations on TNCs, or rideshare support companies (RSCs), as well as rideshare network drivers and vehicles. /atm