TRANSPORT networking company (TNC) Grab announced on Tuesday that it would lower its “surge” charges in anticipation of the rise in the number of commuters who would be booking rides after rival Uber Systems Inc. (Uber) had been suspended.
“We put [the surge]1.4 times the regular rate because we do not want the price to surge excessively.” Grab Country Head Brian Cu said in a press briefing in Quezon City.
“This is twice below the cap the government and the LTFRB (Land Transportation Franchising and Regulatory Board) required last December,” he added.
With Uber serving a month-long suspension, Grab adjusted its rates.
“There has naturally been an increase in bookings made on the Grab platform. We have undergone adjustment regarding this.” Cu said.
Cu said that while “there was a jump of around 10 to 15 percent in rides this morning, there was a much larger jump in booking requests.”.
Cu clarified, however, that the cap may only be temporary and may be changed in the following weeks, but it will continue as long as it would be needed.
Looking forward, Cu said Grab would continue to monitor developments.
“It would take us a couple of days to see what the new normal would be like” he added.
Grab also clarified that they werre not affected by the one-month suspension order issued by the LTFRB.
“Anything that came out from LTFRB does not affect us. Grab is not part of that order.” Cu noted.
When asked how the company was planning to cater to the increase in its demand, Cu replied, “We’ve been communicating with the passengers to provide the best service. We’ve been adjusting our incentive schemes and working towards the consistency that we want for them on the road.” GLEE JALEA