Grab says its operation is compliant with laws

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Following a Ministry of Transport directive asking Grab Viet Nam to stop providing car hailing services in certain provinces, the company said its services did not violate laws.

The Ministry of Transport recently asked Grab not to provide services, including taxi hailing services, in Thua Thien Hue, Ba Ria–Vung Tau and Lam Dong provinces. — Photo laodong.vn

Following a Ministry of Transport directive asking Grab Viet Nam to stop providing car hailing services in certain provinces, the company said its services did not violate laws.

Last week, the ministry asked Grab not to provide services, including taxi hailing services, in Thua Thien Hue, Ba Ria–Vung Tau and Lam Dong provinces, because they were not part of the approved pilot project for electronic passenger transport.

The ministry has also asked the company to not expand its services to other provinces until there were new directives from the Prime Minister.

Grab Viet Nam’s Communication Manager Nguyen Thu An said GrabTaxi was one of the services in its app and registered with the Ministry of Industry and Trade as an e-commerce platform, which was allowed nationwide and complied with Government Decree 52/2013/ND-CP regarding e-commerce.

GrabTaxi was an alternative to connect passengers and taxi drivers, An said, adding that this service did not interfere in the operation, management and fares of taxi companies.

Regarding GrabCar service, An said that the company only partners with eligible vehicles, which had passenger transport licences and labels provided by the transport departments of provinces and cities within the pilot project.

Tran Huu Huynh, former head of the Legal Department under the Viet Nam Chamber of Commerce and Industry, was quoted by Dan Tri online newspaper as saying that there was no ground for banning platforms that connected passengers to taxi drivers.

GrabTaxi service did not have an impact on competition between taxi companies but only provides an alternative option to book taxi services, he said.

In another move, Grab Viet Nam has temporarily halted from Saturday the increase in the share it received from the total fares until there is a new notification from the taxi management agencies.

On January, the share was increased from 20 per cent to 23.6 per cent, as the company said that the increase of 3.6 per cent was to pay value-added taxes and individual income tax for its partner motorbike drivers. — VNS

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