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May 7, 2011

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Home » Metro » Public Services

Taxi fare hike hearing

A PUBLIC hearing is to be held within the next few weeks concerning plans to raise city taxi fares, the local price authority said yesterday.

The detailed adjustment plan will be announced late this month, officials said, which is widely viewed as a signal that taxi fares will be increased. This follows hikes in fuel prices that have hit cabbies' earnings.

Twenty-four people, including 10 consumers and four taxi drivers, will take part in the hearing, according to the Shanghai Development and Reform Commission.

New prices would come into force by mid-July, government officials said.

The current taxi fare, introduced in October 2009, is 12 yuan (US$1.84) for the first 3 kilometers. Previously, the minimum charge was 11 yuan. Online speculation says the price will rise this time to 15 yuan - a figure denied by top traffic officials.

"I'm afraid I will lose more passengers if the fare rises," said Ao Hongwei, a cabbie of 10 years' experience.

Ao also said he has seen profits fall as fuel costs rise.

Taxi companies say they expect a rise but do not want too steep a hike.

The price of 93-octane gasoline, widely used by taxis, is now 7.79 yuan a liter in Shanghai, compared to 5.90 yuan a liter in October 2009.


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