Grab maintains legality of P2 per minute fare component

LTFRB’s recent order to partially grant Grab’s motion for reconsideration– by reversing and setting aside its earlier direction to reimburse fares due to lack of legal basis– is a welcomed outcome that we are grateful for, and supports the fact that Grab acted in good faith and did not do anything illegal.

We maintain that Grab merely followed the Department of Transportation’s DO 2015-011 that allowed TNCs to set their own fares with oversight from the LTFRB at that time.

It is also important to note that Rep. Jericho Nograles, who filed the complaint that triggered the suspension of said fare component, read on record in a Technical Working Group hearing at the House of Representatives, that his own bill allows TNCs to set their own fares. This is a complete reversal of his previous accusations that TNCs could not set their own fares. He now aligns himself to the very Department Order that Grab legally obeyed.

Grab will exhaust all administrative and legal measures until the decision is overturned or resolved with finality.

Our partners have suffered through low earnings for the last four months following the suspension of the legal P2 per minute fare component. This has forced a number of them to stop driving which in turn gravely affected the supply situation. Thus, the lifting of the suspension of the P2 per minute fare component will make our TNVS partners see a path towards more sustainable income and will help end the wait for passengers who deserve a ride when and where it is needed.

We respectfully ask the Board to immediately restore the P2 per minute time component, so that TNVS partners who went offline will be encouraged to go back and help address the TNVS supply crisis. This will also encourage active drivers to continue serving the growing passenger demand.

We would like to assure our passengers that Grab will continue to implement fares that are legal and justified. For transparency, admin compliance to the LTFRB, we have also implemented the issuance of a new e-receipt which shows the breakdown of fares for each ride.

BRIAN CU, GRAB PH COUNTRY HEAD

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