LTFRB, DOTr clarify stand on Grab's supply crisis

The Land Transportation Franchising and Regulatory Board (LTFRB) and Department of Transportation (DOTr) recently responded to Grab’s statement last week in which the TNVS company supposedly put the blame on the regulators regarding its supply crisis.
“It makes us wonder however why Grab puts LTFRB on the spot, so to speak and in an uncomfortable position,” said the government agencies in a joint statement.
DOTr and LTFRB further clarified that beforehand, Grab has already conceded to the Masterlist they were contesting in their statement.
“The Masterlist included Transportation Network Company (TNC) accredited TNVS that have been operating without valid franchises or Provisional Authority (PA), otherwise described are COLORUM vehicles,” the statement said. “In order not to disrupt service, COLORUM TNVs were allowed to continue to get bookings in the meantime and accept passengers through the Grab system, their inclusion in the Masterlist gives them ‘temporary legitimacy,’ while they are given time to apply for a franchise.”
Moreover, the two agencies reiterated that contrary to Grab’s statement—that TNVS allowed to apply for a franchise are limited to the Masterlist—LTFRB is currently accepting applications for TNVS franchises even outside the Masterlist.
“In fact, LTFRB has just completed the online registration of 10,000 new cars in addition to the Masterlist, with plans to open registration for TNVS applicants for those slots in the masterlist which have become inactive,” according to the statement.
Also, the two agencies emphasized that since Grab was issued a franchised or a Provisional Authority (PA) they can still legally get bookings and accepts passengers, and that the number coding scheme is not by LTFRB itself.
“As DOTr and LTFRB seek ways to expedite to complete the target of 65,000 TNVS with the required franchises, it is to Grab’s best interest to engage its own constituency and help clarify the issues,” the statement said.

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