Petrol hike increases taxi fares

taxifaresThe South African National Taxi Council (Santaco) has announced an increase in taxi fares which will be effective from the end of this month.

An increase of between 10% and 20% comes in the wake of the latest fuel price hike. Petrol rose by 32 cents a litre and diesel by 33 cents a litre. In June, the fuel price rose by 84 cents and diesel 78 cents a litre.

Santaco’s Bafana Magagula says local routes will be increasing by between R1 and R5 and long distance routes by R10 and R50.

In June, Sanatco introduced an index which will be used by associations to calculate taxi fares. The Taxi Fare Index is based on a computer programme that models the costs of taxi operations. The index will be released quarterly to the media and to Santaco members.

Consumers in general are under pressure as fuel hikes push up the cost of other consumer goods.

Industrial Development Corporation (IDC) Economist Lumkile Mondi, last Monday said that the volatile rand and relatively higher oil prices are to blame.

The expected e-tolls in Gauteng and possible interest rate hikes are other looming cost pressures for the consumer.