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At a hearing in Quezon City today, the Land Transportation Franchising and Regulatory Board (LTFRB) ordered TNVS provider Grab to lower its surge multiplier from 2.0x to 1.5x, effective immediately.
According to LTFRB’s Aileen Lizada, this is to keep fares within reason while applications from new ride-sharing players are being processed.
Grab spokesperson Leo Gonzales expressed his understanding of the decision but hopes that the board understands the reason as to why surges occur in the first place.
Reasons cited included low number of drivers with high demand, drivers going offline, out for the holidays, etc.
Grab’s management has said that they will comply with the LTFRB’s order.
Source: GMA News Online
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