Manila, July 27 – Amid the controversy involving the Land Transportation Franchising and Regulatory Board (LTFRB) and transport network vehicle services (TNVS) Grab and Uber, lawmakers on Wednesday stressed that the protection and welfare of the commuting public should be the paramount concern of the LTFRB and TVNS.
During the hearing conducted by the House committee on Metro Manila development chaired by Rep. Winston “Winnie” Castelo (2nd District, Quezon City), House members took turns interpellating LTFRB officials and Uber and Grab executives on their policies, pointing out that the services being offered by the TNVS involve public interest.
In his preliminary remarks, Castelo said the hearing was called to discuss the guidelines of the LTFRB on TNVS such as Uber and Grab, particularly those operating in Metro Manila, and eventually come up with legislation on the operation of the TNVS.
Castelo said the controversy stemmed from the LTFRB memorandum stating that Uber and Grab cars without franchise would only be allowed to ply their routes until July 26, 2017, after which there would be a non-stop, unrelenting confiscation of vehicles.
He mentioned the online petition against the LTFRB directive has gathered about 90,000 signatures.
“The LTFRB order would affect Metro Manila residents and the transport situation in Metro Manila. The ultimate objective of the deliberation is to come up with efficient, reliable and effective mass transport system that would address the needs of the Metro Manila residents,” Castelo said.
Rep. Cesar Sarmiento (Lone District, Catanduanes) said that when the LTFRB imposed a fine of P5 million each on Uber and Grab and announced that it would be apprehending their colorum vehicles, these generated adverse reactions from the public such as protests and disapproval, and panic on the part of TNVS operators, drivers and commuters.
Sarmiento said there are lessons to be learned from the situation. He said just as the need of the public is changing, there is also a need for all public utility vehicles to improve.
“People want transparency in pricing, accountability of both the passengers and drivers, reliability of service, driver courtesy, the convenience technology, and the smell of a new car,” said Sarmiento.
Sarmiento said the committee on transportation, which he chairs, will immediately begin deliberations on House bills relating to transport network companies (TNCs) and transport network vehicle services (TNVS).
He put forth the position of Speaker Pantaleon Alvarez (1st District, Davao del Norte) that all transport service providers must secure a congressional franchise.
The marching order of the Speaker is that the Land Transportation Office (LTO) and the LTFRB should be merged into one agency, to be called Land Transportation Authority (LTA), according to Sarmiento.
Rep. Harry Roque (Party-list, KABAYAN) said that under the law, regulators such as the LTFRB, regulate public utilities because they provide public service and the public has a need for the said services.
He said the government transport agency must have a clear framework and a rational perspective on the issuance of licenses.
“Help us understand from what perspective LTFRB is approaching the issue of Uber and Grab and similar technologies,” Roque, a veteran lawyer, told the LTFRB.
Roque said Uber and Grab have been providing convenient, reliable, and efficient service to the riding public.
Rep. Gus Tambunting (2nd District, Paranaque City) raised concerns on the safety of passengers who ride Uber and Grab vehicles which ply the roads without permit.
Tambunting said the public impression is that the LTFRB is siding with the taxi companies when it issued its memorandum governing Uber and Grab.
Rep. Rodel Batocabe (Party-list, AKO BICOL) raised the issue of accountability and liability of Uber and Grab vehicles.
Batocabe said in case of an accident or untoward incident, the passenger cannot file a case against Uber or Grab since it is not a carrier but only a technology platform.
“In case of accident, who do I file cases against? Who do I ran after for indemnity as a result of reckless driving? Who has the contract of carriage?,” Batocabe asked.
He said the LTFRB is just protecting the public. The transport business is imbued with public interest, so the government must step in, according to Batocabe.
Batocabe likewise urged the LTFRB to strengthen its regulatory function so it can better enforce its policies and guidelines, especially in the case of Uber and Grab which are not motorized vehicles but only technology/digital platforms.
Batocabe also expressed support for the proposal of Alvarez that Uber and Grab must be subject to a congressional franchise.
“They (Uber and Grab) cannot just operate without regulation, especially since their operation involves the protection and welfare of our people,” Batocabe said.
“They must come to Congress to operate this kind of technology,” Batocabe added.
Rep. Arnolfo Teves (3rd District, Negros Oriental) said the LTFRB must come up with guidelines to ensure that Uber and Grab would be held liable in case an accident or untoward incident happens to their passenger.
Teves said the agency could exercise its regulatory powers in seeing to it that Uber and Grab follow LTFRB’s policies and guidelines.
Rep. Federico Sandoval II (Lone District, Malabon) urged Uber and Grab to be more transparent in promoting their business and not to mislead the Filipino people.
Sandoval said many Filipinos, especially the OFWs, are encouraged to spend their hard-earned savings in purchasing a vehicle for Uber and Grab purposes because of a promise of huge income, only to end up having difficulty paying their car amortization.
Sandoval also emphasized that the utmost consideration must be the safety of the riding public.
Rep. Harlin Neil Abayon III (Party-list, AANGAT TAYO) said the underlying problems affecting the commuting public, besetting the LTFRB, and rippling through the transport sectors are outdated laws on public transportation.
Abayon explained that the LTFRB needs a new chapter that will empower the said agency to solve the current problems confronting it.
He called for the creation of a national road and rail safety agency with a specific mission of investigating all mishaps on the road and involving rail systems. / ABR – Congress PR