LTA to standardise fare structure for cabs, excluding flagdown rates
01 Apr 2015|3,108 views
The Land Transport Authority (LTA) has announced that fare structure for taxis will be standardised, with the exception of flagdown rates, from the second half of the year.
Taxi companies will have to set their fares in a more structured manner. Although firms can still decide on their own flagdown rates, their taxis must have only one set of metered rates, such as how much passengers are charged per km and for waiting - for their standard fleet and one set for their premium fleets. This can differ across the board.
What will be harmonised across the industry are the various surcharges for standard and premium taxis. Once changes are approved, all 28,000 cabs on the road will have to charge the same peak period, location, city, and midnight surcharge rates. Currently, all companies levy a surcharge of 25 percent of the metered fare during the peak period and 50 percent during the late night period. This will remain, but if there is a lack of consensus among cab companies in the future, the Public Transport Council (PTC) will arbitrate in the matter to set a common standard.
Likewise, both standard and premium taxis will charge the same location-based surcharge. However, operators may opt out of imposing this surcharge if they wish. For example, currently only SMRT and Prime have a $3 surcharge for Marina Bay Sands at some times of the day, but the other cab companies have chosen not to impose this.
Standardisation for call booking rates and metered rates will be less stringent. Cab companies can choose how much they want to charge for these but they must maintain one set of rates for all their regular taxis and another for their premium taxis.
They must also follow the set time and distance parameters for these surcharges. For example, all operators must charge their unit fares every 400 metres after the first km to the 10th km, and every 350 metres thereafter.
Currently, all standard cabs have a metered rate of 22 cents. However, there are variations for premium models. For example, SMRT now charges a metered rate of 30 cents for its Ssangyong Rodius but 33 cents for the Chrysler 300C model.
In terms of booking fees, Prime has three different charges of $3.50, $5 and $6 during peak hours for its regular taxis. With the new rules, it will have to settle on one rate.
If taxi companies want to introduce any new fare components in the future, they will have to apply to the PTC for approval.
The Land Transport Authority (LTA) has announced that fare structure for taxis will be standardised, with the exception of flagdown rates, from the second half of the year.
Taxi companies will have to set their fares in a more structured manner. Although firms can still decide on their own flagdown rates, their taxis must have only one set of metered rates, such as how much passengers are charged per km and for waiting - for their standard fleet and one set for their premium fleets. This can differ across the board.
What will be harmonised across the industry are the various surcharges for standard and premium taxis. Once changes are approved, all 28,000 cabs on the road will have to charge the same peak period, location, city, and midnight surcharge rates. Currently, all companies levy a surcharge of 25 percent of the metered fare during the peak period and 50 percent during the late night period. This will remain, but if there is a lack of consensus among cab companies in the future, the Public Transport Council (PTC) will arbitrate in the matter to set a common standard.
Likewise, both standard and premium taxis will charge the same location-based surcharge. However, operators may opt out of imposing this surcharge if they wish. For example, currently only SMRT and Prime have a $3 surcharge for Marina Bay Sands at some times of the day, but the other cab companies have chosen not to impose this.
Standardisation for call booking rates and metered rates will be less stringent. Cab companies can choose how much they want to charge for these but they must maintain one set of rates for all their regular taxis and another for their premium taxis.
They must also follow the set time and distance parameters for these surcharges. For example, all operators must charge their unit fares every 400 metres after the first km to the 10th km, and every 350 metres thereafter.
Currently, all standard cabs have a metered rate of 22 cents. However, there are variations for premium models. For example, SMRT now charges a metered rate of 30 cents for its Ssangyong Rodius but 33 cents for the Chrysler 300C model.
In terms of booking fees, Prime has three different charges of $3.50, $5 and $6 during peak hours for its regular taxis. With the new rules, it will have to settle on one rate.
If taxi companies want to introduce any new fare components in the future, they will have to apply to the PTC for approval.
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