GRAB and Uber should not come to the government to clean up the mess they have created, according to the Land Transportation Franchising Regulatory Board (LTFRB) on Tuesday.
“Who is to clean up the mess? For both Grab and Uber, do not come to us to solve the mess,” LTFRB Spokesperson Aileen Lizada said in a press briefing.
Lizada addressed the concerns raised by drivers applying to these transport network companies (TNCs) such as the financial distress brought by the decision of the LTFRB to apprehend vehicles operating without franchise.
“Do not throw this on us, TNCs. You have earned millions already,” Lizada said.
Lizada said that Grab was estimated to be earning P60 million a month while Uber, P75 million a month.
“You pay their respective amortization. Do not turn to us to make legal what you have done illegally,” Lizada said, noting that other drivers even bought new cars to be part of Grab and Uber.
LTFRB Chairman Martin Delgra 3rd said that the Board would create a technical working group to discuss issues such as accreditations, accountability and dynamic pricing scheme.
“We have to work together on this,” Delgra said.
Delgra was apologetic about the inconvenience that the ban on unregistered Uber and Grab vehicles may cause to commuters but said that the blame should not be put on the LTFRB.
“The Board has been very supportive (of TNCs),” Delgra said.
“What the government does not want is for the TNCs violating the law openly to the prejudice of the TNVs,” Delgra said.
Lizada said the LTFRB has dismissed 2/3 of the 32,000 pending applications in 2016 prior to the issuance of the memorandum circular ordering the TNCs to stop accepting applications.
Lizada blamed Uber and Grab for not being transparent to the public. According to Lizada, both companies were aware of the memorandum circular but continued to activate the apps of drivers who applied with them.
“We are allowing accreditation but do not activate,” Lizada said.