Sun.Star Cebu

CRACKDOWN V. GRAB, UBER LOOMS AGAIN

Cabinet official believes Grab, Uber should give part of gross revenues to government, while some senators ask LTFRB to ease regulation­s on ride-sharing

- RUTH ABBEY GITA / Reporter @RuthAbbey

Government must get a share of gross revenues from transport network companies (TNCs) Grab and Uber, an official said ahead of the crackdown on illegal ride-sharing operations.

“The government should also have a share of their earnings. If needed, there should be mechanics on revenue-share collection,” said Transporta­tion Secretary Arthur Tugade.

As this developed, some senators urged the Land Transporta­tion Franchisin­g and Regulatory Board (LTFRB) to forge a compromise with the TNCs.

Tugade made his statement after the LTFRB’s decision on Tuesday to apprehend Grab and Uber drivers without a franchise starting on July 26.

App-based drivers will have to pay a P120,000 fine and their vehicles will be impounded for three months if they continue to operate illegally.

Tugade clarified that the government is not against the TNCs, saying all they need is to comply with the transport rules.

The DOTr chief noted that out of 56,000 Uber and Grab drivers, only 10 percent of them are accredited by the government.

Interviewe­d separately, Sen. Sonny Angara said he hopes that both LTFRB and the TNCs would come up with a compromise sson, as he expressed worry on the possible negative impact of the service ban on commuters.

Grab and Uber riders, he said, are those who are fed up with some abusive taxi drivers and frequent breakdowns of Metro Rail Transit (MRT) and Light Rail Transit (LRT) operations in Metro Manila.

Angara also urged the government to speed up its projects on improving the country’s public transport system to give people better transporta­tion options.

Sen. Joseph Victor Ejercito said he also wanted to mediate in the conflict before July 26.

“I am not siding with anyone on this issue. What’s important to consider here is the convenienc­e and safety of the riding public,” said Ejercito, vice-chairperso­n of the Senate committee on public services.

Sen. Grace Poe added: “These companies provide services that taxi operators have been remiss in providing in the past decade, ( such as) pointto-point pick-up and delivery, standardiz­ed fare, and safe and comfortabl­e rides.”

She added, though, that government regulation is necessary to avoid an oversupply of common carriers in one area or a lack of transporta­tion in another.

 ?? ASSOCIATED PRESS PHOTO ?? BORROWED TIME: New York taxi driver and medallion owner Marcelino Hervias talks to a journalist about how ride-hailing apps like Uber and Lyft have caused the failure of some credit unions who lend money against cab medallions, which are hard-to-get licenses that allow traditiona­l cabs to operate. As ride-hailing gains popularity, these medallions’ value has fallen. Story, A19.
ASSOCIATED PRESS PHOTO BORROWED TIME: New York taxi driver and medallion owner Marcelino Hervias talks to a journalist about how ride-hailing apps like Uber and Lyft have caused the failure of some credit unions who lend money against cab medallions, which are hard-to-get licenses that allow traditiona­l cabs to operate. As ride-hailing gains popularity, these medallions’ value has fallen. Story, A19.

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