Wayang for Taxi hike has began...

[Apollo]

Cabbies feel pinch, seek fare hike

Posted: 03 December 2007 0836 hrs Photos 1 of 1

 

SINGAPORE : The pressure is growing on taxi companies to raise taxi meter fares as cab drivers complain of rising operational costs.

 

The Taxi Operators

[Apollo]

one day after wayang.....

 

-----------

 

Taxi fares likely to go up soon Flag-down fare may hit $2.80, and the meter will jump faster, sources say By Christopher Tan & Tracy Sua TWEAKS UNDER WAY: Meters in ComfortDelGro's 15,000 taxis have been adjusted for next year's public holidays, but the fix also includes a chip allowing the fare structure to be adjusted wirelessly. -- ST PHOTO: JOYCE FANG

 

TAXI drivers want it and their associations have asked for it, so all that remains is for the biggest taxi operator ComfortDelGro to go ahead and do it - raise taxi fares that is.

All the signs point to it happening, and soon. A year after the last increase, which saw the flag-down rate go up by 10 cents to at least $2.50 and peak period surcharge double to $2, sources say a bigger jump is imminent.

The flag-down fare is expected to rise by 30 cents, bringing the minimum starting fare to $2.80.

Newer taxis such as the Hyundai Sonata and Kia Magentis charge 20 cents more, so their flag-down rate should hit $3, The Straits Times understands.

Distance and time-based rates are also expected to change. Currently, the meter advances by 10 cents every 210m or every 25 seconds of waiting. After 10km, it jumps 10 cents every 175m.

Industry observers expect leading operator ComfortDelGro to make the first move this month, but the company has remained mum about its plans.

'Fare adjustment is a commercially sensitive topic, so we cannot comment on it,' ComfortDelGro spokesman Tammy Tan said.

For the past three weeks or so, the company - which has a fleet of 15,000 taxis - has been sending its cabs to have their meters adjusted.

Ms Tan said this was mainly to update the meters for next year's public holiday slots. There is a $1 surcharge for public holidays.

But The Straits Times understands the tweaks - taking around 20 minutes per cab - also include adding a chip to allow the metered fare structure to be adjusted wirelessly.

Taxi drivers have been calling for a fare hike for several weeks now, citing the higher cost of fuel and the two percentage point rise in the goods and services tax, which has raised their rental rate by an average of $50 a month.

Diesel at the pumps, after a discount, has risen by around 20 per cent since the last cab fare increase in July last year, raising fuel cost per cab by around $300 each month.

Member of Parliament Seng Han Thong, an adviser to the taxi operators' associations, said taxi fares should be pegged to the cost cabbies bear. He told The Straits Times two weeks ago that the taxi operators' associations have been lobbying for a fare rise.

'Although taxi drivers are always worried about losing business if fares go up too high...they still hope there would be a fare increase,' Mr Seng said.

Some quarters have called for fares to rise substantially to manage demand, so that commuters who need a cab will find it easier to get one.

Cabby Chew Lian Sheng, 37, said that is the 'only way to manage demand', since taxi companies are unable to put more taxis on the road because there are not enough drivers around.

Mr Chew said the flag-down fare should be between $7 and $10. 'There'd be a public outcry. But cabbies can earn a living with fewer trips.'

Mr Chew is also of the view that surcharges must be removed or at least, simplified, as they 'create an artificial market'.

Cabby Manjeet Singh, 62, said the flag-down fare should be $6 or $7. 'It's pathetic now,' he said. 'We should also abolish the surcharges - they are very confusing.'

Transport researcher and National University of Singapore lecturer Lee Der-Horng said simply raising fares would not solve all taxi woes. He said a 'package solution' was needed.

This includes having Electronic Road Pricing subsidies to encourage cabbies to go into the Central Business District; more designated taxi stands in the city centre; and simplifying surcharges.

Associate Professor Lee also suggested having 'a centralised call booking system...This way, passengers will just need to dial one number to get access to the pool of taxis from all taxi companies',

He said doing away with all surcharges may not be the answer. For instance, how can cabbies be encouraged to ply the 'graveyard shift' otherwise?

Nevertheless, he reckons the imbalance between demand and supply 'cannot be fully resolved'.

[email protected]

[email protected]

[Diamond2006]

IMHO, there is really a need for taxi fare to be raise so the taxi drivers will have more income as the inflation rate is very high indeed....because the government cannot or may would not do anything to control the inflation rate as they will use the same reason again: open market, free trade ...etc

 

But if the fare is increase so that the taxi companies can collect more rent, then I would say

[Sfhuang]

Well to be fair to taxi drivers, they need to make a living also. Singapore everything price also increase, how can we expect taxi fares not to increase. "World-class" standard of living mah ...

[Sfhuang]

Agree with you, I think the taxi companies are drawing quite a hefty portion of the drivers' daily takings. Can't recall exactly how much the rental per day costs though.

[Apollo]

not denying tat. but per se person for person? wat is the urgent need if other peasants hv suffer equally long if not longer on $290 subsidies.

 

face it... the hike of $.20 is not much. but why not the cab firms gives the .20 fr their own pocket.

 

think of it... during the years of "suffering", did u hear of cab firm registering red? how is it possible cab drivers r suffering whilst transport firms r making record profit.... where is the "imbalance"

 

sure... sheep fur comes fr the sheep, it's easy to pluck a few more fur.

 

for the policy holders to simply up the prices, imo is really shallow thinking. we dun need to pay ministars millions to do it, a 5 yr old kid can probably do it better and chirper without having to outsource.

[Sfhuang]

like you said, it's "wayang" mah ...

[Kingcopa]

y dun the taxi compay do something by reducing their daily rental till the oil price go down? Up the taxi fare can slove meh? U up, ppl TL dun take taxi but rental still have to pay, so end up who suffer? Y those guys dun dare to suggest this

[Typhoonz]

What a bunch of crap...

[Megaweb]

y dun the taxi compay do something by reducing their daily rental till the oil price go down? Up the taxi fare can slove meh? U up, ppl TL dun take taxi but rental still have to pay, so end up who suffer? Y those guys dun dare to suggest this

Becoz' everything increase. So people work in Taxi company who manage the drivers also need to earn more.

[Karoon]

well in my opinion this fare increase is preposterous and ridiculous.

 

taxi companies that register record-breaking profits year on year must realise that they are profiting from a dire need of singaporeans.

 

they are serving a market who is priced out artificially from private ownership of vehicles, and crowded out of buses and trains.

 

they are served by workers who do not enjoy medical benefits, are daily-rated, work excessively long hours, penalised for accidents and generally in an unfortunate economic situation.

 

they should be more socially entrepreneurial and realise every cent of profit is earned through an overworked, overstrained, underpaid and manipulated driver serving an increasingly disgruntled clientele.

 

in short, reduce the sky-high rental of $90 per day, which essentially covers the capital cost of the cab and the profit margin.

 

do you pay $2700 in monthly loan repayments for your car even with a 100% loan?

 

so one can only imagine how much profit they make at the expense of the public, while supposedly providing a public transport service, which certainly a substantial amount goes into the already thick wallets of chauffer-driven individuals on its board of directors.

[Chimp]

y dun the taxi compay do something by reducing their daily rental till the oil price go down? Up the taxi fare can slove meh? U up, ppl TL dun take taxi but rental still have to pay, so end up who suffer? Y those guys dun dare to suggest this

Or Taxi companies can start charging "Fuel surcharge" like their airline big brother...

[Mzrmazda3]

Why don't these companies jus lower their rental a bit to help the cabbies instead of passing the increment to the passengers since majority are making $$$ every year???

 

When one wanna do any adjustment, one sure got tons & tons of 'Li You' to justify their action

 

It's really becoming the 'Rich Gets Richer' while the 'Poor Gets Poorer'

[Flee]

agree. Not everything must fall on the burdens of the end-users. I wouldnt be surprised after this taxi fare hike, the bus operators will start the same calls for price hike, citing rise in fuel, operating costs etc. End of the day, these companies will still report a XX million dollar nett profit, passing all the increased costs to end-users.

 

While i know they must be accountable to shareholders, they must also be more socially conscious of the further financial impact on consumers, especially in these times.

 

Not everyone enjoys a pay increase. Ask the cleaners, the roadsweepers etc whether they have enjoyed any increase over the last few years. If this round of hikes continue without checks, the poor will get poorer, and more and more people will be driven either out of the country, or driven nuts...

[Maroon5]

its about time la...diesel prices and erps are hitting all time high....

[Apollo]

this is wat happen when ah seng ah beng is in charge.

[Chimp]

I believe the root cause of the problem is that in Singapore, taxi is being owned by corporation instead of individuals. In almost everywhere else, the taxis are privately owned. The Taxi companies in Singapore is more like a middleman taking a cut of the drivers' income. Does anyone think running a taxi business can be a money losing one? So they sure will make money and by law individuals cannot own taxi in Singapore - a very pro business government?

 

Obviously, GLCs realized taxi business is a very profitable business so they monopolized them. Not sure what was the reason given when they took away those yellow top cab's licenses and prevent privately own taxis?

[Apollo]

eh..... everything can b traced to the familee.........