Grab to settle P16M fine by Feb

    47

    Grab Philippines yesterday said it will settle by February the P16.2-million fine imposed by the Philippine Competition Commission (PCC) due to fare breaches and frequent driver cancellations in May to August this year.

    The anti-trust body identified certain deviations from Grab’s voluntary commitments which is caused by the lack of transportation network vehicle service supply to service the steadily growing commuter demands, coupled with the worsening traffic situation.

    Grab said it will refund P14.2 million to passenger took rides in May to August this year and it will pay P2 million to  PCC.

    As the new monitoring year begins with the new system-wide average monitoring scheme, Grab is hopeful in fulfilling its commitments to the PCC.

    But it said as a platform, pricing will still be influenced by factors such as lack of supply and the traffic situation.

    The fourth quarter review marks the completion of PCC’s first year of monitoring Grab on its voluntary commitments.

    The fine is the latest in a string of penalties faced by Grab for violating its commitments.

    Each violation incurs an administrative penalty ranging from P50,000 to P2 million as provided by the Philippine Competition Act.

    For violating its pricing commitments to PCC, Grab was earlier fined P11.3 million in the first quarter; P7.1 million in the second quarter; and P5.05 million in the third quarter.

    Fines for the third and fourth quarters will be refunded to qualified Grab riders.