THE Land Transportation Franchising and Regulatory Board (LTFRB) on Wednesday ordered Uber Philippines to explain why it continued to accredit new drivers despite a July 26 order directing ride-sharing platforms to stop accreditation and activation.
In a hearing at the LTFRB office, Chairman Martin A. Delgra III asked the legal team of Uber to explain in five days why Uber continues to accredit new drivers to operate under the transport network vehicle service (TNVS).
“We need to put a stop to the false expectations of the public that they can still get themselves accredited, or worse, get activated so they can be booked as TNVS,” Mr. Delgra said.
Uber Philippines legal counsel Joseph Castillo admitted the company has been accepting applications for accreditation, but denied new drivers have been given activated. He said they believed the order only prevented Uber from accrediting and activating new TNVS, and did not cover the acceptance of applications.
The LTFRB, however, clarified that Uber cannot accept new applications under the July 26 order.
Mr. Delgra also asked Uber to submit a new master list, with added active drivers compared to what they submitted last July 29.
Meanwhile, the Foundation for Economic Freedom said the LTFRB should suspend its proposal to regulate the operations of transport network companies (TNCs).
“We believe that it’s untimely and inappropriate for the LTFRB to curtail the service by establishing a cap to the number of permits it is issuing to the drivers of these ride-sharing services. Limiting the number of vehicles allowed to do ride-sharing is not only anti-competitive, but it also forces the riding public to use their own cars on the road to add to the traffic congestion and also compels them to bear with the abuses perpetuated by regulated private utility vehicles, such as taxis,” the FEF said in a statement.
FEF said the LTFRB should instead “conduct hearings and studies on how the Public Service Act may be updated to cover this new wave of technology-enabled transport services.”
Meanwhile at the House Committee on Transportation hearing on Wednesday morning, Mr. Delgra expressed “shock” upon learning there are 66,000 transport network vehicles (TNVs) registered under Uber, and 52,398 TNVs registered under Grab. He added that Uber and Grab said they had around 28,000 TNVs each during a July 11 LTFRB hearing.
Yves P. Gonzalez, head of policy at Uber Philippines, said out of the 66,000 Uber TNVs, only 2,500 have certificates of public convenience (CPCs) or provisional authorities (PAs), while 1,000 have pending extension of the necessary documents.
Brian P. Cu, Grab Philippines country head, said out of the 52,398 Grab TNVs, only around 3,000 to 4,000 have CPCs or PAs. — Patrizia Paola P. Marcelo
