Grab urges fair competition amid proposal to ban Move It motorcycle taxis
MANILA, Philippines — Ride-hailing giant Grab Philippines has raised concerns over what they perceive as unjust allegations on the recommendation to ban its motorcycle taxi firm Move It.
House committee on Metro Manila development chairperson Rolando Valeriano, in a 15-page report, earlier said that Move It's operations "may have to be halted" due to questions concerning its connections with Grab Philippines — the transport network vehicle service (TNVS) which acquired the former in 2022.
Grab and Move It have yet to receive a copy of the Valeriano's report.
"It is unfortunate that the head of the House Committee on Metro Manila Development has recommended the 'banning' of Move It, one of the only three motorcycle taxi firms servicing thousands of passengers who rely on this affordable, safe and reliable mode of transportation for their daily commute," Grab said in a statement issued on Thursday.
The ride-hailing company released a statement to address multiple concerns, including the allegation of non-compliance concerning Grab's acquisition of Move It.
"This issue has long been resolved after receiving the approval of the Philippine Competition Commission (PCC) and the Department of Transportation (DOTr), who both found the transaction above board," Grab said.
"The PCC and the DOTr reiterated this in a committee hearing conducted by the House Committee on Transportation in the past," it added.
The company said that drivers and passengers would be greatly affected if thousands of its riders were to lose their jobs, limiting the options available to passengers.
Grab also said that Move It is open to scrutiny, with the condition that it occurs on a level playing field, just as Angkas and Joyride willingly subject themselves to the same standards and scrutiny.
"We respectfully submit that Move It must not be singled out as this is anti-competitive and discriminatory," Grab said.
"On a final note, we urge all businesses, including Motorcycle Taxi Pilot players, to affirm their commitment to competition and fair play for the benefit of all consumers and drivers," it added.
Group welcomes House proposal
A network of digital advocates welcomed the recent recommendation of a committee in the House of Representatives to prohibit the operations of a popular motorcycle ride-hailing app citing violations.
Digital Pinoys national campaigner Ronald Gustilo said that banning the operation of Move It is "only just" as it allowed the alleged backdoor entry of Grab in the motorcycle taxi pilot study.
"This is a welcome development as the Grab-Move It deal has skirted previous orders from the technical working group of the motorcycle taxi program not allowing Grab to participate in the program," said Gustilo on Wednesday.
"We are now urging the technical working group to heed the recommendation of the committee."
It could be remembered that the Department of Transportation allowed only three operators in its pilot study — Angkas, Joyride and Move It — which later on granted them provisional authority to operate.
Valeriano's report said that Grab and Move It have yet to comply with requests for "information that are crucial in the determination of whether Grab is, in fact, a de facto fourth player in the pilot study."
Digital Pinoys last March urged the government to come up with an anti-monopoly legislation in order to prevent TNVS companies from controlling the whole transportation sector.
In October 2022, the Philippine Competition Commission (PCC) said that Grab's acquisition of Move it does not require its approval as the transaction did not breach the P50-billion threshold for compulsory notification.
Move It chairperson Francis Juan earlier said that the company remains as the third player in the motorcycle ride-hailing service and that Grab, by acquiring the company, did not become a fourth player.
Gustilo urged Angkas or JoyRide to absorb the riders that may be affected should the technical working group of the pilot program heeds the committee's recommendation so that the passengers will not be burdened.
"The affected riders should be accommodated by motorcycle taxi firms if the TWG will adopt the recommendation so that the passengers will not be burdened by this action," Gustilo said.
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