The country also ordered Grab to remove exclusivity arrangement with drivers and taxi fleets, maintain pre-merger pricing algorithm and driver commission rates

The Competition and Consumer Commission of Singapore (CCCS) announced that it has fined ride-hailing companies Grab and Uber a total of S$13 million (US$9.5 million) over their merger in March, with Uber being fined for S$6.58 million (US$4.8 million) while Grab was being fined for S$6.42 million (US$4.7 million).

According to a report by Channel News Asia, the business competition watchdog said that the deals has led to “substantial eroding” of competition in the ride-hailing market.

The penalties were then imposed to “deter completed, irreversible mergers that harm competition”.

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CCCS also ordered Grab to remove exclusivity arrangement with drivers and taxi fleets, as well as to maintain its pre-merger pricing algorithm and driver commission rates, following complaints from both drivers and customers.

Its investigation revealed that Grab has increased its trip fares and net of rider promotions between 10 to 15 per cent after the merger deal.

It has also required Uber to sell the cars under Lion City Rentals, its vehicle rental unit, to any potential competitor with a “reasonable” offer.

e27 has reached out to Grab for comments on the decision.

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