Press Release
January 22, 2018


Sen. Grace Poe has urged the Land Transportation Franchising and Regulatory Board (LTFRB) to "explain the science" behind its decision to cap the number of Grab, Uber and other ride-sharing units at 45,000 in Metro Manila, 500 in Metro Cebu and 200 in Pampanga.

"What's the math used in this decision? What were the parameters used, like demand and supply?" Poe asked.

Poe said "some formula would have been used because these figures, which are important to the riding public, cannot and should not be plucked out of thin air."

"In this age of algorithms, LTFRB should make public the factual basis of its decision. Ilabas nila ang minutes ng meetings and consultations para alam ng publiko," she said.

"Such disclosure of a public document is what the FOI rules, issued by the President, require. Tulad namin dito sa Senado, ang transcripts are made public. Walang censored or hidden," Poe said.

Poe said she was not questioning LTFRB's order "but my call is for them to explain the scientific basis of their decision."

"Malaki na ang inunlad ng data science, kaya maraming interesadong malaman kung ano ang justifications. Isang importanteng tanong: Ano ang baseline data na ginamit? Ano ang forecast model for future demand ang ginamit?" Poe said.

Poe also asked "if the most important components in the ride-sharing business, the customers, yung mga suki, were consulted. Meron bang survey? Tinanong ba sila? Nakuha ba ang pulso ng mga taong unang maapektuhan ng bagong patakaran?"

The LTFRB recently issued Memorandum Circular 2018-003 which set a "common supply base" for transport network vehicle service (TNVS) providers.

The said base would mean that ride-sharing companies will share the pool, which shall not be exceeded.

The LTFRB earlier assured the public that the base will be reviewed every quarter and adjusted correspondingly based on "churning rate."

Poe stressed, "The review should not just be based on the churning rate, which is the number of vehicles that are no longer in the system. Instead, it should be based on an algorithm that determines supply and demand. The cap will also affect not just the TNCs but the livelihood of drivers of TNVS. Given that there are currently about 100k TNVS combined, and this number is not enough to satisfy the demand of the public, then we should start with that as the base and adjust accordingly."

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