Taxi Services at Risk as Fuel Costs Force FCCC Fare Adjustment

Some taxi operators were considering reducing services or temporarily ceasing operations due to rising fuel costs, prompting the Fijian Competition and Consumer Commission (FCCC) to approve a temporary increase in taxi fare rates.

The FCCC said reports from within the industry highlighted growing pressure on operators as international fuel prices continue to climb amid ongoing tensions in the Middle East.

In response, the Commission has approved a temporary adjustment to the distance-based component of taxi fares, effective from July 1. The drop charge for general taxis will increase from 10 cents to 14 cents per 100 metres travelled, while all other fare components, including flagfall and waiting time charges, will remain unchanged.

FCCC Chief Executive Officer Senikavika Jiuta said the Commission recognised the important role taxis play in Fiji's transport network and the livelihoods of thousands of Fijians.

"In recent weeks, FCCC has received reports that some taxi operators were considering reducing services and, in some instances, temporarily ceasing operations due to the increasing cost pressures caused by rising fuel prices," Jiuta said.

She said the Commission's assessment focused specifically on the direct impact of fuel price increases on taxi operations, with the approved adjustment designed to ensure services remain available while balancing the interests of operators and consumers.

The temporary measure will remain under review, with FCCC saying it will reassess the adjustment should international fuel prices stabilise or decline.

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