SINGAPORE, April 13 — Grab’s acquisition of Uber remains unsettled in Singapore, as the Competition and Consumer Commission of Singapore (CCCS) ordered for a set of interim measures to take immediate effect today to keep the ride-hailing market "open and contestable”.

The Uber mobile application in Singapore will also continue to run until May 7, "with necessary customer support to handle contractual and payment issues”, it said.

This is the second time the shutdown of the app has been put off since April 6, as the competition watchdog continues its investigation into the merger between the two ride-hailing companies.

Uber’s app was due to stop running on April 8, after Grab announced its takeover of Uber’s South-east Asian operations on March 26.

News of the deal prompted the CCCS to launch an investigation into what it described as an "unnotified transaction” between the two companies. It also proposed interim directives to both companies to "preserve and/or restore competition and market conditions”.

The commission’s latest statement today spelt out key measures, which were enhanced from its proposed directives issued earlier this month. They will take effect until its investigation is completed, but no date was given.

One of the measures asks for Grab to make sure that Uber drivers who are joining its ride-hailing platform on their own accord will not be subject to any exclusivity clauses, lock-in periods and/or termination fees.

Each firm shall maintain their pricing and product options for riders and drivers, including the levels of base fares, surge factor and driver commission rates — as they were before the sale.

Grab will also not be able to take over operational data such as trip history data from Uber to enhance its market position.

However, the CCCS noted that Grab will be able to receive personal data of drivers, riders and merchants who have opted in and moved from Uber to the Grab platform.

Introduced today is also an order for Grab to stop its exclusivity arrangements with all taxi fleets in Singapore on two provisions: That there are no exclusivity arrangements in Singapore between any taxi fleets and any third-party ride-hailing platform other than Grab, and that all taxi operators permit their respective taxi drivers to drive for any third-party ride-hailing platform for metered and fixed fare jobs.

TODAY understands that Grab will not be stopping its partnership with taxi operators on its JustGrab platform, as ComfortDelGro drivers are still unable to take up JustGrab jobs.

Other extra measures include a clause to protect drivers who rent vehicles from Uber’s vehicle rental subsidiary Lion City Rentals.

The CCCS said that both parties must ensure that drivers who rent a vehicle from Lion City Rentals will be free to drive for any ride-hailing platform and shall not be subject to any hindrance such as higher rental rates and the lack of insurance coverage that will limit the drivers’ ability to drive for any platform. Both firms are expected to inform drivers of this through an email.

They also have to clearly communicate through an email to drivers and riders in Singapore who were on the Uber platform that migration to the Grab platform is purely optional.

An independent monitoring trustee shall be appointed to see that all parties comply with the interim measures.

‘Work within set constraints’

In response to the announcement, Grab agrees to extend the use of the Uber app to May 7 to allow for a smoother transition time for riders and drivers, adding that it will "work within the set constraints and continue to focus on building better products to compete, ensuring fairness for passengers and drivers”.

Lim Kell Jay, head of Grab Singapore, also voiced concerns about some of the limits: "We trust that the CCCS’ review takes into account a dynamic industry that is constantly evolving, highly competitive, and being disrupted by technology and new services. The interim measures should not have the unintended effect of hampering competition and restricting businesses that have already been investing in the country over the years.”

He said that Grab is "fully supportive” of extending its platform to all taxi drivers, including ComfortDelGro drivers who are still constrained from picking up JustGrab jobs.

"Grab entered Singapore five years ago with minimal resources and the goal of enabling all taxi drivers to earn a better living using our platform. We recognise CCCS’ commitment to preserving competition; all companies — no matter big or small, digital or traditional — are capable of innovation in a free market,” Mr Lim added.

"We’re proud to be headquartered in Singapore, where the country’s free market economy and policies enable businesses to compete and innovate vigorously to solve customer needs. We trust the Government will continue to be pro-business in providing a path for start-ups to flourish and become sustainable businesses.”

Lim also said that the company will continue to cultivate the tech talent pool here through its regional research and development centre in Singapore.

Separately today, the Land Transport Authority expressed its support for the interim measures issued by the CCCS. "In particular, we note that the measures pertaining to the removal of exclusivity obligations and impediments to market contestability will further promote market competition in the point-to-point (P2P) transport sector.”

The authority is reviewing the broader regulatory framework for this sector, including studying how to structure the sector and license private-hire car booking service operators.

"This is to ensure the sector remains open and contestable and no single operator dominates the market to the detriment of commuters and drivers. Where necessary, we will work with CCCS, taxi companies, and private-hire car booking service operators to operationalise CCCS’s interim measures directions requirements,” it added. — TODAY