Prime Taxi simplifies fare structure
Prime taxi. TODAY file photo
SINGAPORE — In order to comply with regulations expected to kick in from the second half of this year, taxi operator Prime Taxi has simplified its fare structure.
The move was first reported by Lianhe Zaobao today (April 22). Starting this month, Prime Taxi has reduced its number of standard taxi flag-down fares from five — ranging from S$3.20 to S$3.80 depending on taxi model — to just two, S$3.60 and S$3.80. There is also just one uniform premium taxi flag-down fare at S$4.50, compared to S$3.70 or S$4.50 in the past.
Prime Taxi also cut the number of standard taxi booking fees from nine to just three.
Previously, there were three fees each for advanced booking, peak hour current booking and off-peak current booking. Following the changes, there is only one fee for each type of booking, as required by future regulations. The fee for advance booking of standard taxis now costs S$6, while those for current peak and non-peak bookings cost S$3.50 and S$2.50 respectively.
Explaining the move, a Prime Taxi spokesperson told TODAY: “Since last late year, the company had made plans to harmonise flag-down fares and booking fees. The harmonisation simplified taxi fares, and made it more transparent to commuters.”
Taxi fares have been deregulated since 1998. Cab companies are allowed to set their own fares to respond to market conditions and impose surcharges to incentivise taxi drivers to serve locations and time periods where demand is high.
Following complaints from commuters over confusing taxi fares, the Land Transport Authority and Public Transport Council announced parameters — effective from the second half of the year — to standardise how charges are levied.
Companies will have to adhere to a uniform standard for when meters tick over, when surcharges are imposed and when the different booking fees kick in. How much they choose to charge for each of these components, however, will remain their call, as long as it applies company-wide.
Following Prime Taxi’s move, Premier Taxis is the only operator left with more than two type of flag-down fares for standard taxis. Premier could not be reached for comments by press time.
Prime’s simplification of its booking fees also puts the company in line with the other five taxi companies, which currently charge one fee each for current peak, current off-peak and advance bookings for standard taxis.
Prime Taxi currently operates the smallest fleet among Singapore’s six taxi companies, with more than 900 taxis. The fleet is diverse, with 18 different models for standard taxis listed on its website.
SIM University urban transport management expert Park Byung Joon noted that Prime had set different fares and fees to reflect the different costs of its various taxi models. While costs could go up for the operator with a simpler fare structure, commuters will benefit from the move, he said.
Stressing that taxis are part of public transportation, National University of Singapore transport analyst Lee Der Horng added: “We should not charge different rates simply because it is a different type of vehicle. Some of these costs should be internalised instead of externalised.”
