Grab extends fuel surcharge, GrabCab unit fare adjustments until end July amid fuel price volatility
Grab said 100 per cent of the fuel surcharge and unit fare adjustments go directly to driver-partners, with the platform taking no commission.
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SINGAPORE: Ride-hailing platform Grab will maintain its temporary fuel surcharge and GrabCab unit fare adjustments for another two months, the company said on Friday (May 22).
The measures, originally introduced in early April to help drivers cope with rising operating costs, will remain in place until Jul 31.
Under the extension, a S$0.90 fuel surcharge will continue to apply to all transport bookings except standard and metered taxi rides.
The surcharge will continue to be reflected as a separate line item on passenger receipts.
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The S$0.90 fuel surcharge was first introduced on Apr 7 and was initially meant to run until May 31.
The move included an additional S$0.40 surcharge on passenger fares. Grab then also announced that the existing “Driver Fee” of S$0.50 would be renamed as a single “fuel surcharge” line item.
As a result, passengers saw the surcharge increase from S$0.50 to S$0.90 per trip across Grab’s transport services, excluding standard and metered taxi rides.
GrabCab’s metered fare rate will also remain at S$0.27, up from S$0.26 previously. The rate applies to every 400m travelled for the first 10km, every 350m after 10km, and every 45 seconds of waiting time.
Grab said 100 per cent of the fuel surcharge and unit fare adjustments go directly to driver-partners, with the platform taking no commission.
“We recognise the pressure our partners face as a result of higher pump prices,” said Alvin Wee, Grab Singapore’s senior director of transport and country operations.
“We are maintaining these adjustments to ensure driving remains a viable livelihood while keeping the marketplace sustainable.”
Grab said it has been consulting the National Private Hire Vehicles Association (NPHVA) and National Taxi Association (NTA) as it navigates the current operating environment.
NPHVA executive secretary Raven Lee said the measures provide “a much-needed cushion” for drivers affected by higher fuel costs.
“We appreciate the community’s understanding, which allows our members to continue providing essential services in this challenging environment,” he said.
NTA executive secretary Teo Siew Pan said fluctuating pump prices continue to create uncertainty for drivers.
“NTA is glad that Grab will maintain the fuel surcharge and GrabCab unit fare to support drivers,” she said, adding that the association will continue working closely with Grab to monitor the situation.
Beyond fare adjustments, Grab pointed to a S$1.4 million fuel support package it introduced earlier this year, which includes fuel vouchers, higher cash bonuses and cashback rebates.
The company added that it is also looking at longer-term measures to support drivers’ transition to hybrid and electric vehicles through partnerships, including with original equipment manufacturers and charge point operators.
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