LTFRB suspends implementing Grab’s P50 cancellation fee on customers

May 8, 2019

The Land Transportation Franchising and Regulatory Board (LTFRB) has suspended implementing ride-hailing firm Grab's P50 cancellation fee on its customers.

LTFRB Chairman Martin Delgra III said Wednesday they came up with thedecision following a meeting with representatives from Grab and other transport network companies on Monday.

“It's suspended pending review,” he said in a text message.

Delgra explained the fee being imposed by Grab is not part of its fare structure but would fall under “other charges” which the LTFRB regulates.

In a separate statement, the LTFRB said it took into consideration its mandate to protect the riding public.

“The LTFRB is mandated to ensure that public utility charge reasonable fares,” it said.

Grab imposed this to prevent excessive cancellations by its customers, with the amount going to the driver to compensate for fuel costs and effort they spent to meet the passenger.

For drivers who will ignore or cancel booking requests, they are removed from Grab's platform for a temporary period. DMS