THE Fiji Taxi Association has strongly condemned the Fijian Competition and Consumer Commission’s (FCCC) decision to revert taxi distance rates to 2011 levels following recent drops in global fuel prices.
This week the FCCC announced that interim fare adjustments introduced on July 1 to absorb surging global fuel prices, will expire on September 30.
From October 1, fares will revert to previous rates, forcing every taxi meter nationwide to be reprogrammed.
Association president Mohammed Faiyaz questioned the economic logic of restoring a 15-year-old rate in 2026, adding that effective from October 1, the distance rate would revert to ten cents per 100 metres ($1 per km).
“How can a distance rate effectively set 15 years ago possibly reflect the cost of operating a taxi today?”
Mr Faiyaz said petrol prices remained roughly 31 per cent higher and diesel 45 per cent higher than in 2011.
“The $300 that a taxi earned from a given amount of work in 2011 is still the same $300 today because the distance fare has remained unchanged but the real value of that $300 has significantly diminished.”
The association also criticised the FCCC for forcing operators to undergo two costly meter recalibrations within three months, costing drivers around $50 each time alongside lost working hours.
“FCCC created this administrative and financial burden. It cannot simply send the bill to taxi owners who are already struggling to survive.”
The association called for an immediate suspension of the October 1 reduction, a retainment of the interim $1.40 per kilometre rate, and an urgent, comprehensive review of operating costs.
Mr Faiyaz said legal options and potential industrial action were being considered if the commission refused to reconsider its decision.
