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New DOTC and LTFRB Classification for Southeast Asia’s GrabCar

The Department of Transportation and Communication (DOTC) announced a new classification of public utility vehicles to usher in app-based services like GrabCar.

“The Transportation Network Vehicle Service (TNVS) classification will allow app-based services offered by Transportation Network Companies (TNCs) to exist within our regulatory framework,” said DOTC Secretary Jun Abaya in a statement.

GrabCar, the private vehicle booking service available through the GrabTaxi app, provides a fast, safe and convenient transport option for passengers. GrabCar has been working with DOTC and the Land Transportation and Regulatory Board (LTFRB) on accrediting its mobile app service since its establishment.

“GrabCar has been very collaborative. Since day one of operations, they have been working closely with LTFRB to ensure that the policy on TNCs modernizes the Philippine transportation industry and prioritizes passenger safety. We look forward to granting GrabCar accreditation upon meeting all government requirements ,” said LTFRB Executive Director Atty. Roberto Cabrera.

The new order imposes standards for vehicle eligibility, such as limiting the vehicles to sedans, Asian Utility Vehicles (AUV), Sports Utility Vehicles (SUV) and vans with a maximum age limit of seven years. DOTC also requires vehicles to have a global positioning system (GPS) tracking system.

GrabCar remains committed to its goal of complementing GrabTaxi and the taxi industry in the Philippines. It provides passengers with an option to pay a pre-arranged, fixed price to go to their destination in style and comfort. GrabCar charges a base fare of P40.00 and an additional P15.00 per kilometer, regardless of any idle waiting time due to traffic jams.

“From the onset, GrabCar has worked together with DOTC and the LTFRB to achiev e our shared goal of revolutionizing the Philippine transportation system. This new policy is a laudable step towards that. GrabCar will surely continue to collaborate with government and uphold our country’s laws and regulations to ensure passenger safety and transport efficiency,” said GrabTaxi’s General Manager Natasha Bautista.

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