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PCC approves Grab-Uber Deal; Grab vows to abide by its Voluntary Commitments

"We are happy that the Philippine Competition Commission (PCC) has recognized the legality of Grab’s deal with Uber in Philippines and accepted Grab’s voluntary commitments. PCC’s pro-innovation approach and forward-looking decision sets a strong example for other regulators examining the Grab-Uber deal, and encourages fair competition and a level playing field that ultimately benefits consumers and drivers. As we move forward to become an everyday app that serves the daily essential needs of people in Southeast Asia, we will continue to stay focused on serving the best interests of our consumers and partners."

Grab Philippines is thankful to the Philippine Competition Commission (PCC) for recognizing the legality of the deal that transpired between Grab and Uber last March 26, 2018 and for accepting Grab’s voluntary commitments that considers the uniqueness of the Philippine ride-hailing landscape.

Grab has always stayed focused on putting the benefits of our consumers and partners first. As we move forward to become an everyday app that serves the daily essential needs of all Filipinos, we emphasize our commitment to further uphold our service quality and continuously provide our consumers and partners fair and transparent operations.

We assure the PCC, our regulators and stakeholders that we will act responsibly and adhere to the following voluntary commitments:

  1. Adherence to industry standards on non-exclusivity arrangements between TNVS providers and drivers and operators: We respect the rules and regulations set by LTFRB on the universality of the common supply base of registered TNVS. We honor our partners’ freedom to choose their preferred TNC amongst the current players. Much as we respect the freedom of our partners to choose, we also believe that they should be empowered to decide for their future by joining the TNC they can work with best.  We will extend necessary support to drivers and operators as we always do.
  2. Upholding Service Quality:  Since the implementation of Better Trips: 100 days campaign last May 8, Grab has rolled out activities to enhance driver service quality and welfare, provide better ride experience and upgrade customer support. While we wait for LTFRB to maximize the current supply cap, Grab also strives to improve driver acceptance rate, overall trip allocation rate and provide quick response to feedback.
  3. Transparency of Fares: Grab will ensure provision of trip receipts with clear fare breakdown per trip as part of our commitment for transparency to our consumers. Grab shall also ensure to keep fares within reasonable price range, aligned with the approved LTFRB fare structure.

Grab will work with the PCC in appointing an independent Monitoring Trustee to monitor Grab’s compliance with the Voluntary Commitments. Grab will regularly submit monthly reports to PCC for the next 12 months.

We welcome the entry of new TNCs. Grab was a start-up and like what we were once before, the new TNCs should be given room to grow.  We urge LTFRB to maximize the current supply cap to allow a wider TNVS community. This way, the new TNCs will be given opportunity to offer what they can to all TNVS operators and drivers and further improve the transport industry.

This development will surely promote a sense of community within the ride-hailing sector. Local players deserve a fighting chance in a fair marketplace.

We applaud and thank the PCC for ensuring fair competition in the ride-hailing industry. PCC’s pro-innovation approach sets a strong example for other regulators examining the Grab-Uber deal, and its forward-looking decision will enable new digital industries and startups in the Philippines to further grow and innovate for public good. With PCC leveling the playing field by accepting Grab’s voluntary commitments, we hope that LTFRB will do the same by implementing a standardized TNC fare matrix as soon as possible.

“We are happy that the Philippine Competition Commission (PCC) has recognized the legality of Grab’s deal with Uber in Philippines and accepted Grab’s voluntary commitments. PCC’s pro-innovation approach and forward-looking decision sets a strong example for other regulators examining the Grab-Uber deal, and encourages fair competition and a level playing field that ultimately benefits consumers and drivers. As we move forward to become an everyday app that serves the daily essential needs of people in Southeast Asia, we will continue to stay focused on serving the best interests of our consumers and partners.”

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Attributed to: Brian Cu, Grab Philippines, Country Head 

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