TRANSPORTATION NETWORK COMPANIES (TNCs), particular their motorists deemed illegal or “colorum,” were allowed to continue service after a dialogue on Wednesday with the Land Transportation Franchising and Regulatory Board (LTFRB) as initiated by Senators Grace Poe and Joseph Victor G. Ejercito.

In a related development, LTFRB said in a statement also on Wednesday it will establish a 1-stop shop for TNVS (Transport Network Vehicle Services) today.

Ms. Poe in a statement on Wednesday said, “The public uproar caused by the issuance of LTFRB Memorandum Circular No. 2016-008, suspending the acceptance of applications for TNVS in Metro Manila made it necessary for our Committee, the Committee on Public Services to step in. I thank Senator JV Ejercito, one of my vice-chairpersons for the Committee of Public Services for his initiative in calling for a closed door meeting between the LTFRB and the Transportation Network Companies (TNCs) — Uber and Grab — and for his presence during that meeting.”

Ms. Poe, who heads the aforementioned committee, said further that, “although the LTFRB will push through with executing their memorandum circular, they will allow the TNCs to file their motion for reconsideration and pending the resolution of the latter, will allow existing ‘colorum’ TNVS to continue providing service.”

In a statement on Wednesday, Grab Philippines Country Head Brian Cu said in part: “Grab is filing a motion for reconsideration tomorrow which will start the process for further discussion on resolving the issues on colorum drivers.”

It was also agreed in the dialogue that “Grab and Uber will share their data with the LTFRB, so that the LTFRB, in crafting guidelines, will consider the actual number of TNVS on the road and not just the number of TNVS that have been accredited,” Ms. Poe’s statement noted.

She added: “Let us allow the LTFRB to do its job. They have to regulate common carriers to ensure accountability and to prevent the ‘dynamic pricing scheme’ of TNVS from overcharging passengers during peak hours.”

“On the other hand, government must be forward-looking. Ride-hailing services is now a necessity because these provide the comfort and reliability that many of our people look for in public transportation,” Ms. Poe also said.

In an earlier statement on Tuesday, she noted in part: “We must acknowledge the fact that many of our commuters now rely on (TNVS) to travel around the city. The companies of TNVS provide services that taxi operators have been remiss to provide in the past decade — point-to-point pick-up and delivery, standardized fare, and safe and comfortable rides.”

LTFRB in its statement said its one-stop shop begins today, to process Certificate of Public Convenience (CPCs) that are about to expire until end of July 2017. CPCs and provisional authority permits (PAs) are the permits that the agency requires of TNVS motorists.

LTFRB will also issue a Memorandum Circular (MC) that will extend the validity of CPCs from one year to two years and will direct TNCs to extend the accreditation of their TNVS. A help desk will also be established, the agency said.

Grab, in its statement, also said in part: “Since February 2017, we have been submitting, on behalf of some TNVS drivers, their applications for PA extensions/renewal. The LTFRB has been accepting hundreds of these applications.”

“It has been five long months and the LTFRB announced just yesterday a one-stop shop for PA extensions processing. Almost half a year of waiting,” the company also said.

Grab also took exception to the “colorum” tag, saying: “This is a gross misconception of what Grab has to offer. Grab took the initiative and went the extra mile in ensuring the safety of both our partner drivers and passengers by providing them with industry-standard insurance coverage at no cost to drivers…. With or without PA/CPC, we assure the LTFRB that our passengers are insured for 200,000 for death and 20,000 for injuries.”

Amid this controversy, Ms. Poe has filed a new bill, the proposed Transportation Network Services Act, under which TNCs and Transport Network Drivers shall be governed exclusively, if still within the regulatory bounds of the LTFRB, when that bill is enacted into law.

The aim of Senate Bill No. 1501 is to “institutionalize and regulate ride-hailing services,” Ms. Poe said. — Patrizia Paola C. Marcelo

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