Uber banned from the Philippines after it flouts new driver rules

Violet Tucker
August 17, 2017

Land Transportation Franchising and Regulatory Board (LTFRB) board member and spokesperson Atty.

The complainants, describing themselves as the "national president and/or chairman of various transport organizations [representing] transport workers", alleged that Uber did not stop accepting applications of transport network vehicles despite LTFRB's order and its subsequent fine of P5 million.

Up for grabs are the more than 300,000 internet-based bookings per day cornered by TNC main players Grab and Uber.

Extending financial assistance will be "an expression of good faith as their accredited peer-operators would not have suffered the current predicament were it not for the predatory actions of respondent Uber", the LTFRB said.

"We're going to do everything we possibly can to show that we respect the authority of the LTFRB", he said.

LTFRB on Monday suspended operations of Uber.

"We are disappointed with the LTFRB's decision to deny our Motion for Reconsideration, and will comply with the Order".

Aquino also said that it was brought up in the meeting that Uber should compensate drivers for the days that they will not be able to use their vehicles.

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"I would like to reiterate (that) what Uber did now (resume operations), puts at risk all its TNVS... what kind of partner is that?", Lizada said.

When asked what penalties Uber is likely to face, Lizada said: "I do not like to preempt the decision of the board".

Uber has suspended its services in Philippines after the national regulator banned it from operating for one month.

American ride-sharing start-up Arcade City launched services in the Philipines on Wednesday, offering itself as an alternative to Uber but prompting an immediate regulatory crackdown.

The suspension had led to a surge in demand for rival Grab, which issued a statement on Tuesday calling it a "unique situation" and asking users to "bear with us".

"Over the course of this morning, tens of thousands of riders were left stranded, causing needless inconvenience, while drivers were unable to access the earning opportunities they rely on", Uber said.

An Uber representative told a House committee earlier this month that of its 66,000 drivers in the Philippines, only about 2,500 of them have proper permits.

Uber TNVS can not shift to Grab given the LTFRB order on July 26 which stops Uber and Grab from accepting and accrediting new TNVS.

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Other reports by Guamnewswatch

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