REP. CIRIACO “ACOY” S. CALALANG
KABAYAN Party-list
Member, Transportation, Good Government & Public Accountability, Public Order & Safety, Justice, and 12 other committees Mobile: 0917-729-2437
REP. CALALANG TO LTFRB: MAKE THE TNC SECTOR MONOPOLY-FREE
Given the new development of the sale by Uber of its entire Southeast Asia business to Grab, the Philippines now suddenly finds itself with a ride-hailing service monopoly—a situation that is not good for the riding public because of the lack of competition and competitive pricing.
It may take some weeks or months for the effects of the Uber sale to Grab to cascade to the Philippines, but it will eventually happen.
The urgent task now before the LTFRB is for it to adjust to the new situation by allowing the entry of more ride-hailing services and promulgating sound fare-setting mechanisms. U-HOP, the other TNC, as it is now is not as large an operation as Grab will very soon be.
LTFRB should proactively encourage other TNCs to enter the Philippine market in order to serve more passengers and break the monopoly of GRAB. LTFRB can do so by reducing red-tape inside the office, setting new regulations opening the TNC sector to new investors both local and foreign, and creating an environment ready for the influx of new TNCs.
Such proactive move shall benefit the riding public as healthy competition naturally breeds innovations, new technologies, higher standards, and lower prices.
The riding public needs more choices and better price options and this means having more than just Grab and U-HOP. Two or three more TNCs can address the huge demand not just in Metro Manila, Metro Cebu and Metro Davao, but also in the highly urbanized cities of Cavite, Laguna, and Bulacan.
A liberal, yet public safety grounded LTFRB policy, through a board resolution encouraging more TNCs to be accredited, is what the new environment calls for.
If, after some reasonable time, the LTFRB is unable or unwilling to protect the riding public with these measures, then it may very soon be necessary for Congress to divest the LTFRB of its power to regulate TNCs.
Congress might opt to regulate the TNCs with its power to grant legislative franchises or transfer the regulatory authority of the LTFRB over TNCs to another government agency. (END)
REFERENCE:
https://www.bloomberg.com/news/articles/2018-03-25/uber-is-said-to-reach-agreement-on-southeast-asian-sale-to-grabhttps://www.rappler.com/nation/126117-uhop-tnc-accredited-ltfrbhttp://www.fleetshare.ph/Linkback:
https://tubagbohol.mikeligalig.com/index.php?topic=89469.0
Topic: Uber sale to Grab to cascade to the Philippines (Read 522 times)