Grab-Uber deal “suspicious”

imagesPBA Partylist representative Jericho Nograles is on a warpath against Grab. Nograles is not just raising the issue on the monopolistic tendency of Grab, the young legislator is also raising the deal which Grab entered with Uber. Nograles, together with the spokesperson of the Philippine Competitive Council (PCC) Johannes Bernabe is questioning the alleged “illegality” and “suspicious” nature of the deal. Johannes Bernabe is citing the personalities behind the Grab company and the real company is located at the Cayman Islands. Grab now reportedly controls 95% of the market.

Nograles has a beef to settle with Grab. Nograles proposed a bill last July 2017 which allows firms like Grab to settle their own rates. Grab did what Nograles wants. But now, Nograles is on a warpath accusing Grab of violating the law by setting their own rates, a privilege which is still not legal, according to the legislator. Based on the law, hail riding firms like Grab are under the Land Transportation Franchising and Regulatory Board or LTFRB. It is still the LTFRB which determines the rates of these firms.

While the PCC determines if the Grab-Uber deal followed Philippine law, we may probably see our commuters suffer from high rates.

One comment

  1. If grab will set the fare by itself amost, what is the need to maintain an LTFRB office? What is the role of LTFRB and the government itself especially that there are already problems of greediness brought to light by congressman nograles? A simple problem from TNCs” and yet cannot be settled by LTFRB. If they are not capable, why did they decide and allow these ride hailing business to operate in the Philippines? The LTFRB should at least know that near monopoly by grab of the ride hailing business is undesirable and should be eliminated. Did LTFRB know also the “cartel” system? Is it a monopoly also?


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s