LTFRB stops GrabBike

MANILA, Philippines – Online-enabled transportation service GrabBike suspended its operations Thursday afternoon following a cease and desist order issued by the Land Transportation Franchising and Regulatory Board (LTFRB) on Jan. 26.  

“GrabBike will temporarily stop operations effective Feb. 4,” Grab (formerly GrabCar) said on its Facebook page.

The Grab maintained that it “created an innovative solution” to the transportation problem in Metro Manila and continues to look for alternative ways to help solve traffic woes.

Earlier, the LTFRB ordered transportation network company (TNC) mytaxi.ph to stop offering GrabBike as a public transportation service.

LTFRB Chairman Winston Ginez said the board and the Department of Transportation and Communications (DOTC) have yet to issue guidelines that would allow the operation of GrabBike.

The mytaxi.ph, which runs Grab transportation network vehicles (TNVs), is an authorized TNC of the LTFRB.

Under the Public Service Act, no public utility vehicle shall operate without a certification from the LTFRB.

Ginez said the LTFRB has not yet accredited TNCs such as Grab and Uber to offer motorcycles and bikes as a mode of transportation.

“The DOTC does not authorize any TNC to offer the use of a motorcycle as a transportation network vehicle,” he said.

The Grab, however, expressed hope the government would come up with positive actions on the possible regulation of TNVs.