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After almost one and a half years since the Government said it was reviewing the complicated taxi fare structure in Singapore, Senior Minister of State for Transport, Josephine Teo, told Parliament on Wednesday that “there was no easy solution to harmonise the fares.”
As such, “the best solution”, she said, “was to leave the fares as they are for now.”
In November 2013, Mrs Teo had responded to questions from two Members of Parliament (MP) about the complicated taxi fare structure and if this served commuters’ interest.
MP Liang Eng Hwa had also asked whether commuters are expected to scrutinise the type of taxis which they flag down before deciding to board the taxi.
In her reply then, Mrs Teo said she recognised that “the current taxi fare structure is complex and confusing for commuters.”
“LTA will work with the Public Transport Council (PTC) and the taxi companies to study if and how it could be made simpler and more easily comparable across different taxi companies, taking into consideration also the impact on taxi drivers, ultimately to have a taxi fare structure that best serves commuters’ interests,” she told the House then.
In December 2013, National University of Singapore transport researcher Lee Der Horng also chipped in on “the mind-boggling range of fares.”
In the current system, there are close to 10 different flagdown fares, three different metered fare structures, more than 10 different types of surcharges, eight types of phone booking charges, issued by some 30 types of cabs in at least eight different colours, across seven brands.
“There are currently four broad components to the structure – flag-down fare, unit fare, surcharges and booking fees. Unit fare accounts for extra distances travelled and time taken,” Channel Newsasia reported.
“The price mechanism has failed badly in the taxi industry such that it is operating like a perfect competition, whereby whenever one operator increase prices, the others will follow,” Dr Lee said. “If we are talking about luxury goods, it is their freedom to do so. But taxi industry’s position should be somewhere between public and private, so the Government cannot be blind to this.”
http://www.theonlinecitizen.com/2015/03/no-solution-to-taxi-fare-conundrum-josephine-teo/
As such, “the best solution”, she said, “was to leave the fares as they are for now.”
In November 2013, Mrs Teo had responded to questions from two Members of Parliament (MP) about the complicated taxi fare structure and if this served commuters’ interest.
MP Liang Eng Hwa had also asked whether commuters are expected to scrutinise the type of taxis which they flag down before deciding to board the taxi.
In her reply then, Mrs Teo said she recognised that “the current taxi fare structure is complex and confusing for commuters.”
“LTA will work with the Public Transport Council (PTC) and the taxi companies to study if and how it could be made simpler and more easily comparable across different taxi companies, taking into consideration also the impact on taxi drivers, ultimately to have a taxi fare structure that best serves commuters’ interests,” she told the House then.
In December 2013, National University of Singapore transport researcher Lee Der Horng also chipped in on “the mind-boggling range of fares.”
In the current system, there are close to 10 different flagdown fares, three different metered fare structures, more than 10 different types of surcharges, eight types of phone booking charges, issued by some 30 types of cabs in at least eight different colours, across seven brands.
“There are currently four broad components to the structure – flag-down fare, unit fare, surcharges and booking fees. Unit fare accounts for extra distances travelled and time taken,” Channel Newsasia reported.
“The price mechanism has failed badly in the taxi industry such that it is operating like a perfect competition, whereby whenever one operator increase prices, the others will follow,” Dr Lee said. “If we are talking about luxury goods, it is their freedom to do so. But taxi industry’s position should be somewhere between public and private, so the Government cannot be blind to this.”
http://www.theonlinecitizen.com/2015/03/no-solution-to-taxi-fare-conundrum-josephine-teo/
