GRAB and Move It, which both operate via commercial mobile apps that provide everyday services like deliveries and mobility, are now in hot water.
A Manila Representative has vowed to look into what he said was a ‘questionable and premature’ acquisition of Move It by Grab, to the detriment of the riders and the public in general, particularly those who avail their services.
According to the statements made by Manila Third District Representative Joel Chua in a press conference, it is motu propio that an investigation will have to be done by the House of Representatives in aid of a law that would ensure the protection of riders and commuters alike.
Chua’s action came after the Lawyers for Consumers’ Welfare and Protection headed by Atty. Ariel Inton and the Digital Pinoys led by Campaigner Ronald Gustillo wrote his office about certain issues. Chua happens to be a member of the committee on transportation in the Lower House.
In the said press conference he jointly held with Inton, Gustillo, national convenor and chair of National Public Transport Coalition Ariel Lim and national chairman of Arangkada Riders’ Alliance national chair Rod Cruz, the lawmaker said the concerns raised by various groups in their letters to him were alarming, particularly the alleged systematic cutting of bikers’ income and overpricing of customers being done by Grab, among others.
In stressing that the acquisition of Move It by Grab is premature, Chua explained that the said app riding service program is still in the pilot testing stage. The technical working group (TWG), he said, had given the opportunity to participate in the pilot tests to JoyRide, Move It and Angkas.
In December, the TWG, which had given the authority to Move It to participate in the pilot tests, told Move It to permanently stop the acquisition deal and yet, it went on with the transaction with Grab.
Now, the question being raised by the lawmaker is why Move It went against the TWG directive and pursued, when the accreditation to be included in the pilot testing was given to them as a matter of privilege and not a right.
He said it would seem that the intention of Grab is to go into the pilot testing where they had not been given the authority to participate. In the case of Move It, on the other hand, Chua said it entered into a deal with Grab although the TWG, the body that gave it the chance to join the pilot testing, is the one telling them to stop.
Clearly, Chua said there is a violation or non-compliance with the directive as he noted claims that the deal went on since the parties got the nod from Congress, the DOTR and the LTFRB.
Contrary to the claims, the lawmaker pointed out that the questionable acquisition was made first week of August when Congress convened only in July, when President Ferdinand Marcos, Jr. delivered his SONA.
True enough, Congress was still in the process of reorganizing committees and there were no chairmanships yet at that time. The DOTR and LTFRB, on the other hand, were still in a period of transition.
He also noted that based on the complaint he received, the Philippine Competition Commission (PCC) had imposed a P65 million penalty on Grab for overcharging and for it to refund its passengers some P24.5 million in 2019.
However, only P6 million had been refunded so far and this, he said, also needs to be investigated.
There were also claims of income cuts among the riders and overcharging.
Hopefully, a full-blown inquiry be done to include the entry of Grab into the mobility service, from mere food delivery, since lives will already be at stake and the protection of commuters and the riders must be paramount.
Indeed and judging from the complaints, something is wrong somewhere.
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