Taxi Association defends 30 per cent fare hike request
The National Council of Taxi Associations (NCOTA) is defending its decision to demand a 30 per cent fare hike following the increase in the gas tax despite the fact that petrol prices are now lower than they were last year.
Last year, the special consumption tax on fuel was raised by a similar $7, but no fare increase was granted.
The Gleaner/Power 106 News Centre took a look back at the prices of gasolene when the increase was imposed last March.
The new rate was implemented on March 18, 2015, and Petrojam announced that it would be selling E10 87 gasolene for $103.94 that week, while E10 90 was to be sold for $105.59.
Last week, when the new tax rates took effect and the $7 were added to the price of gasolene, Petrojam announced that E10 87 gasolene would be sold for $101.28, while E10 90 would be sold for $102.93.
That means prices after the implementation of the tax this year, are lower than the prices of gasoline at the time the tax was increased last year.
However, head of NCOTA, Dion Chance, says the fare increase request is not simply in response to the recently announced tax hike.
He says taxi operators have been holding strain since last year when the tax was increased and other factors since then have made the need for an increase even more pressing.
Chance says the association has requested a meeting with Transport Minister Mike Henry to discuss the fare increase and other matters affecting the transportation sector.