Grab PH Says LTFRB Needs to Open Up to 65,000 Cap
Grab Philippines expressed firm belief that despite the opening of 10,000 new slots for transport network vehicle service (TNVS) units, the demand is still not enough.
During a press conference, Grab Philippines President Brian Cu said that local demand is high and that servicing the current numbers is difficult as the number of vehicles needed to service TNVS users is already lacking by around 15,000 active vehicles.
To make matters worse, the recent deactivation will result to more difficulty in hailing for a car via the Grab app.
Aside from the difficulty, he also said the recent move is “painful,” noting that nobody wins in the scenario: the drivers who lost their livelihood; and the passengers who will find it harder to hail a ride.
“The best scenario for the Filipino people, is to have more drivers which results in passenger convenience, and less traffic as car owners will just need to hail a ride, instead of bringing their cars out. If LTRFB will allow the deactivated drivers to resume work while it processes the application of 10,000 new drivers, that would be the best win for the Filipino people,” Cu said.
During the hearing Tuesday morning, Cu said that they are willing to extend assistance to the Land Transportation Franchising and Regulatory Board (LTFRB) to fast track a solution to address the growing application of TNVS drivers to serve the ever-soaring number of rides.
“If there is room for Grab to help LTFRB in the processing of driver applications, we are very much willing to help,” Cu said at a hearing.
“As painful and inconvenient as this is, making sure that the vehicles on the Grab platform all have the legal right to service passengers. This was made clear to us in the various meetings with the LTFRB and in Congress. This inconvenience will be felt even after the 10,000 new slots as twice that number is necessary to provide the 70-percent allocation rate they said they want to maintain,” Cu added.
Further, during the press conference after the hearing, Cu urged the regulator to increase the number up to 65,000 units, which the LTFRB has set themselves.
“We are offering a solution to the riding public and livelihood opportunities to drivers, as well as supporting the car, banking, and insurance industries. We will continue to be part of the solution in every way we can, even in businesses like on-demand deliveries and payment systems, among others,” the Grab chief noted.
“Right now, we are even below the cap. And with deactivation, we hope that the current ‘normal’ will be back in two week’s time,” Cu claimed.
Since Monday, Grab opened a TNVS Help Center at Matrix Events place, just behind the LTRFB office in Quezon City to help thousands of driver-applicants make sure their applications are complete and proper.
“We can do more for the drivers, the public and LTFRB if given the leeway. We will continue to champion the best interest of the Filipino people, and we enjoin everyone to be partners in growth, service, and transport efficiency for the country,” Cu said.