Grab fares surge under opaque algorithm

For example, on Feb. 20, 2024 (a Tuesday) from midnight to 11:45 p.m., the Makati to Taguig City route recorded a notice of "High Surge" the whole day. The estimated average wait time was 3.4 minutes that day. It peaked at 11 minutes at 7:45 a.m., but didn't go back to the average until 10 a.m. From 3:15 p.m. to 9:45 p.m. on the same day, the wait time averaged at four minutes. It wasn't until past 10 p.m. when wait times generally dropped to a minute or two. Statistical analyses conducted by PCIJ did not yield conclusive results. The routes exhibited both positive and negative correlation between surge rates and wait times, which suggested that surge pricing did not always work to improve service quality, measured roughly as a reduction in wait time. The routes that resulted in a positive correlation were pick-up points in the central business districts like Makati and Taguig. The sur...