Taxi fares could fall in review by regulator

TAXI FARES could fall this year following a review of the national maximum fare in the coming months by taxi regulator Kathleen Doyle.

Ms Doyle yesterday flagged several reforms of the industry which will come into force from next month as part of a two-year plan.

From June 8th:

• New taxi licences will only be issued in relation to wheelchair vehicles;
• A new category of wheelchair-accessible hackney will be introduced;
• Any driver changing their car must buy a vehicle less than nine years old;
• Existing licences may only be sold one more time.

Ms Doyle said yesterday she had committed to reviewing fares every two years, but said this did not mean fares would increase. Submissions on the fare review would be sought from the industry and the public, but a decision to alter the fare would be based on a number of factors related to industry costs and affordability for the public.

“We will look at the operation and running costs of the providers, but to work the fare has to be fair and balanced...We could lower the fare.”

She said variables such as petrol prices would be looked at over a two-year period, and other industry costs such as insurance, maintenance and repairs would be assessed. These factors would then be balanced against the wider economic situation to avoid creating a disincentive for passengers to use taxis.

The national maximum fare was introduced in 2006 and was reviewed upwards by just over 8 per cent in 2008. The increase was met with some criticism due to the beginnings at the time of the economic downturn. Fine Gael’s spokeswoman on tourism, Olivia Mitchell said the increase was a “nightmare” for tourists and would not benefit drivers.

Irish Taxi Drivers Federation president John Ussher said there were mixed views in the industry in relation to fares. “Things are at an all-time low and we need to try to encourage people into taxis. There is a fear that a fare increase may put people off; on the other hand there are people who need an increase to survive. I will be listening to all views before making a submission.”