Grab calls for localization of traffic plans

MANILA, Philippines — Ride-hailing giant Grab Philippines is pushing for a localized approach in addressing the traffic crisis in the country, warning that a one-size-fits-all program may worsen the situation.

Grab Philippines country head Grace Vera Cruz said local governments would be pushed into the spotlight over the next few years as they try to solve their own traffic issues.

Thus, she expects local governments to intensify discussions on how to mitigate traffic congestion in their respective areas, adding that this would spark a targeted approach rather than a national one in improving mobility conditions.

“I think there will be a lot of discussions on cities like what mobility solutions do I have for this particular city. Is it two wheels? Is it four wheels? Is it three wheels?” Cruz told The STAR.

“I believe that cities will have more and more discussions on what is the right transport plan for the community that they have. This is definitely not [one-size-fits-all],” she added.

For instance, Cruz said the traffic solutions for Baguio would be different from Iloilo given their contrasting terrain, varying demographics, among others.

Cruz said it would be difficult to promote two-wheel options in Baguio, as the city is gifted with an elevation that best fits four-wheeled vehicles.

“Baguio is very hilly like Session Road. Imagine how two wheels would be? That alone, if you think about it, made us realize that the solution for cities like Iloilo is different from Baguio and Cagayan de Oro is different from Davao [even though they are both in Mindanao],” Cruz said.

“I feel that there will be a lot of local discussions in local government units. They will be asking themselves what would best fit my city,” she added.

Cruz also clarified that Grab has no plans of penetrating the public utility vehicle modernization program of the government. At the moment, she said the focus of the company is to introduce its portfolio of transport services to as many cities and municipalities as possible.

Aside from offering four-wheel transport and food delivery services, Grab is testing the viability of new business concepts like Grab DriveYourCar that allows customers to hire a driver for their vehicles for up to 12 hours.

Grab also operates in the two-wheel segment through Move It that it acquired in 2022 as part of its strategy to offer motorcycle taxi services.