Taxi Fares in Singapore

Dear Mr Tan,

You complained that taxi fares are expensive in Singapore. Yet, you suggested that the flag down fare should be raised. You appear to be contraditing yourself. Can you explain?

-------------------------------

REPLY

I support raising the flag down fare, to replace all the various surcharges. I hope that this improve the utilisation and efficency of the taxi service, and ultimately, the cost will be lower.

The cost of any service depends on the following:

* the actual cost of operation, eg taxi hire, petrol, charges, etc
* how well the service is utilised

The current system of surcharges is complicated. Some taxi drivers do not wait for a booking before they take the passenger, to enjoy a high booking fee. This results in poorer utilisation of the taxis. It leads to higher cost.

If we have a more efficient system, the cost will come down.