By Patrizia Paola C. Marcelo

THE LAND Transportation Franchising and Regulatory Board (LTFRB) yesterday allowed Uber Philippines (Uber Systems, Inc.) operators accredited by the company to transfer to the two other transport network companies (TNCs), Grab Philippines (MyTAXI.PH Inc.) and UHOP during the month-long suspension of Uber.

In Board Resolution No. 19 series 2017, the LTFRB said that accredited transport network vehicle service (TNVS) may transfer to Grab or UHOP, but must provide proof of accreditation issued by Uber, and proof of insurance coverage as TNVS.

TNVS who wish to transfer to Grab or UHOP during the month-long suspension of Uber must be in the accredited list of Uber submitted to LTFRB and are not required certificates of public convenience (CPCs) or provisional authorities (PAs).

LTFRB also requires Grab and UHOP to submit a list of TNVS operated daily, to ensure coverage of the affected TNVS under the terms and conditions of Grab and UHOP, including incentives and similar benefits.

“The decision of the Board is based on the urgency of the matter for public service, particularly the riding public for their convenience and benefit, as well as the TNVS who were displaced because of Uber’s irregular conduct,” Board Member Aileen Lizada said in a statement.

HEARING ON UBER SET
LTFRB is also set to conduct a hearing on the manifestation and motion filed yesterday by Uber, offering to pay a P10-million fine in lieu of the issued month-long suspension.

Uber said it has filed a second pleading urging the LTFRB to accept a fine rather than a suspension. LTFRB on Tuesday denied the motion for reconsideration filed by Uber as regards the suspension.

“We are also offering financial assistance to driver partners, as we work to urgently resolve this matter, and hope to be able to serve the Philippines again as soon as possible,” the company said in a statement.

Ms. Lizada said that in addition to the prayer, Uber also submitted folders of the TNVS with proposed financial assistance, and requested that a hearing be conducted on Aug. 23.

“Just like in any other hearing, we will be…hearing Uber’s side and if there is a need to hear the TNVS of Uber as well, as regards financial assistance, we will do the same. We will not be pressured to fast-track everything,” Ms. Lizada said in a statement.

ARCADE CITY
In another development, LTFRB wrote to the Department of Information and Communications Technology (DICT) yesterday, seeking assistance to shut down Arcade City, a ride-sharing app that calls itself the “Uber alternative.”

In a letter addressed to DICT Secretary Rodolfo A. Salalima, LTFRB Chairman Martin A. Delgra III said his agency has requested “the possibility of disconnecting the operations” of Arcade City, a US-based company that launched its app in the Philippines this month.

LTFRB warned Arcade City on Tuesday to “cease all operations,” saying it is a transportation network company (TNC) which has not coordinated with the agency.

Arcade City, however, released a statement yesterday saying: “We forgive the LTFRB for ordering Arcade City to ‘cease operations’ before they understood what Arcade City is and is not, specifically how Arcade City is different from Uber.”

The statement said further: “Driver entrepreneurs may freely identify as Arcade City drivers, but Arcade City does not require payment from riders or drivers.”

“Arcade City will continue recruiting and activating drivers all across the Philippines to provide service in the gap left by Uber’s abrupt withdrawal yesterday.”

Arcade City in its statement also said it “embraces a new peer-to-peer model of ride-sharing. Instead of controlling drivers from a corporate headquarters, Arcade City frees drivers to build up their own transportation businesses like true entrepreneurs.”

“Drivers are free to set their own rates, build their own recurring customer base, and offer additional services like deliveries or roadside assistance. Riders can review driver profiles in advance and choose the driver they prefer,” the statement added.