Grab plans Php10 to Php13 fare hike under increased fuel excise tax
With fuel prices expected to increase as an effect of the government’s new tax reform law, Transport company Grab has announced that it wants to increase its fares by around 6 -10%, or roughly Php10 to Php13 pesos.
In a report by Inquirer, Grab Philippines head Brian Cu was quoted as saying in a conference that “We will file a petition with the LTFRB (Land Transportation Franchising and Regulatory Board (LTFRB) to request for a fare change,”
Cu expressed concern that the excise tax on petroleum products would “definitely impact their daily expenses, which would then impact their (the drivers’) monthly earnings.”
He explained that the average Grab driver needs to earn Php3,200-3,600 to stay sustainable, and Php900-1,100 of that amount accounts for fuel expenses. He then finished by saying that the company will not increase their fares until they see a significant change in fuel prices.