An official from the Land Transportation Franchising and Regulatory Board-Davao Region (LTFRB-Davao) clarified that approving a new taxi company to operate in the city is not to compete with traditional taxis, as both are given equal opportunities to operate in Davao City.
Nonito Llanos III, regional director of LTFRB-Davao, explained in a radio interview on dxGM Super Radyo Davao on Friday morning, January 5, that traditional taxi drivers need not worry about the Transportation Network Vehicle Service (TNVS) as only about 200 of its units are allowed to operate.
“I don’t think it is a competition because they are different kinds – because Grab Car is based on TNVS —Transportation Network Vehicle Service — in getting the passengers and when we talk about taxi pwede ra sila tawagon sa dalan (they could just be hailed on the road),” Llanos said.
He added that there is a significant difference between traveling by TNVS and traditional taxis, because TNVS usually relies on the booking system and a mobile phone application.
In Davao City, LTFRB-Davao approved 200 units of TNVS to operate, and operators are limited to two units with a maximum of three.
GrabCar began operations in July 2023, and some operators started their services in August 2023.
On October 13, 2023, Grab Philippines launched its flagship mobility service car in Davao City.
Grace Vera Cruz, the country head of Grab Philippines, cited reasons for the delay in Grab's introduction into the city, including internal company policies and external factors such as the effects of the Covid-19 pandemic and government constraints. RGP