MANILA, Philippines - The Land Transportation Franchising and Regulatory Board (LTFRB) ordered transport network companies (TNCs) Uber and Grab to rid their ranks of colorum drivers or face apprehension, an official said yesterday.
LTFRB board member and spokesperson Aileen Lizada said they directed the two TNCs to stop transport network vehicle services (TNVS) drivers who do not have the required certificates of public convenience (CPCs), also known as franchises, or provisional authorities.
The directive is contained in a consolidated order dated July 11 addressed to Uber and Grab. The LTFRB also directed the TNCs to submit an updated list of their accredited peer operators as of June 30.
Failure to comply will result in the confiscation of vehicles and a P120,000 fine for each colorum driver.
The order will become executory after 15 days or on July 26.
The LTRFB on Tuesday slapped a P5-million fine on the two TNCs for enabling the operation of at least 50,000 colorum drivers.
In a phone interview, Lizada said paying the fine “does not mean they are no longer required to comply with the requirements.”
Both Uber and Grab admitted that they continued accepting drivers into their platforms despite the LTFRB’s directives.
While the TNCs are allowed to contest the apprehensions, she said there will be no extension on the deadline.