Ride-hailing app Grab is expected to charge passengers S$0.30 more for rides in the next few months after regulators announced today they have revoked pricing restrictions.
Grab, which had petitioned to have the limits lifted, said today that it would otherwise current rates for at least six months.
鈥淭his introduction of a platform fee will be the only change we will be making to our fares for the time being. Otherwise, we are committed to maintain the current pricing structure and policies for at least the next six months given the COVID-19 situation,鈥 it said today in a statement.
The announcement came two years after the Competition and Consumer Commission of Singapore imposed the rules on Grab in the wake of its acquisition of Uber鈥檚 Southeast Asia business. They were meant to counteract anti-competitive forces as the deal left Grab with a monopoly at the time.
Tada, Gojek, and Ryde have since joined the market.聽
All platforms have, since October, adhered to rules meant to ensure transparent fares, more licenses and flexible regulations for drivers.
Grab appealed to the board in July about the fare increase, saying that it would go toward the company鈥檚 operating costs, improvements, driver welfare, and other benefits.
U.S.-based Uber kept a 27.5% stake in Grab as part of the 2018 sale.
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