SANTACO says no decision yet on taxi fare hikes after fuel increase

The South African National Taxi Council (SANTACO) has told commuters no decision has been taken to increase taxi fares after the latest round of fuel price rises and said it will hold further consultations with industry and government before reaching any position.

Council urges calm while consultations continue

SANTACO urged the public and commuters to remain calm and not act on speculation following the fuel price increases. The council said it resolved to undertake further consultations with the taxi industry, the fuel industry and government to assess the impact of higher fuel costs.

The resolution was taken during the council’s National Office Bearers (NOB) meeting held in Kempton Park, where leaders considered the effect of rising fuel costs on taxi operators, employees across the industry and commuters.

Engagement plans and processes

SANTACO spokesperson Rebecca Phala said the council will:

• engage its industry members to assess the impact of the fuel-price increases;
• engage fuel suppliers and business partners on possible cushioning measures that could be achieved through the industry’s collective buying power; and
• engage the National Department of Transport and other relevant government stakeholders on possible solutions to mitigate the impact of rising fuel costs on the taxi industry and the travelling public.

The council said:

“At this stage, SANTACO is making no announcement regarding possible taxi fare increases.”

Phala added that the council’s objective is to find “an ideal and sustainable solution that takes into consideration the interests and financial realities of taxi operators, employees within the industry and commuters, particularly at a time when all sectors of society are experiencing significant economic pressure.”

Next steps: NEC to consider the matter

SANTACO said it will continue with its consultations and will table the matter before its National Executive Committee (NEC) which sits tomorrow for further consideration. The council said it will communicate its position once a collective decision has been concluded.

Phala reiterated:

“SANTACO therefore appeals to the public and commuters to remain calm and not act on speculation regarding possible fare increases. No decision to increase taxi fares has been announced by SANTACO at this stage.”

Fuel prices that prompted concern

The fuel price increases that took effect on Wednesday, October 7 pushed the price of 95 unleaded petrol to R30.25 a litre inland and R29.38 at the coast. The price of 93 unleaded petrol in inland regions rose to R29.88 a litre. Diesel prices also rose, with 50ppm diesel increasing by R3.24 a litre and 500ppm by R2.84. At wholesale level, 50ppm diesel was reported to cost R32.80 in Gauteng before retail margins.