Singapore - Following the lead of rival taxi services, Grab and Gojek stated on Monday (July 25) that they will maintain their price increases through December 31.
On Monday, two different transportation companies told The Straits Times that the fluctuating cost of fuel necessitated the introduction of the new fee in order to ensure a steady income for drivers.
Drivers will receive the entirety of the price increase, which is being referred to as a "driver charge," according to both parties. For every ride, Grab charges an additional fifty cenWhile pump prices have dipped, sliding three days ago to their lowest in four months, operators have pointed out that prices are still much higher than they were last year, and analysts have said that energy prices will continue to stay up.
Separately, taxi rides from the Singapore Zoo, River Safari and Night Safari from August will cost $3 more, after reports of people having trouble getting taxi rides surfaced.
In a Facebook post on Monday, ComfortDelGro said the surcharge will apply to all trips from the taxi point of the Mandai parks between 4pm and 11.59pm every day, from Aug 1 to Dec 31.
The Straits Times understands that the Mandai parks also have similar arrangements with other taxi operators.
It is a similar move that Changi Airport Group has made for taxi trips starting from the airport, in what could be a new tactic to attract more drivers to far-flung tourist hot spots as travel resumes.
Associate Professor Raymond Ong of the National University of Singapore said it is likely that there could be more of such places with surcharges, especially now that drivers are consciously making a decision about where to pick up passengers.
Drivers want a “passenger trip chain”, where they can pick up one person after another without much waiting. “It seems that this could be a norm. (Right now), there is less incentive for drivers to pick up passengers in places that are out of the way,” he added. whereas Gojek charges the same amount for rides of up to ten kilometers and an additional eighty cents for longer journeys.
The extension will provide much-needed wages protection and security, according to Gojek's general manager Lien Choong Luen, who noted that "cost of living" increases and that "the socioeconomic environment remains unstable."
A Grab official stated that "ongoing high fuel prices" were to blame for the delay. "We will continue to watch the situation," the official said.
Drivers have been hit with a fee from both Gojek and Grab since March and April, respectively, to assist offset the cost of steadily increasing gasoline. They were given an additional month in May.
Amid growing demand for taxis and private-hire cars following the easing of Covid-19 limits, operators ComfortDelGro, Trans-Cab, Strides Taxi, and Prime Taxi have all announced that fuel-related rate hikes will continue until December. While energy prices have fallen in recent weeks, hitting a four-month low three days ago, operators have noted that this is still significantly higher than this time last year, and analysts have predicted that this trend will continue.
Separately, when complaints of difficulty hailing taxis appeared, fares to and from the Singapore Zoo, River Safari, and Night Safari would increase by $3 beginning in August.
All journeys departing from the taxi point of the Mandai parks between 4pm and 11.59pm, daily from August 1 to December 31, ComfortDelGro announced on Facebook on Monday.
According to the Straits Times' sources, other taxi companies also have agreements in place with the Mandai parks.
Changi Airport Group has taken a similar step for airport taxi rides, in what may be a novel strategy to get more drivers to remote tourist hot areas as traffic picks up.
Since drivers must now make a deliberate choice about where to pick up passengers, Associate Professor Raymond Ong from the National University of Singapore has speculated that there may be more such spots with surcharges.
To minimize their time spent waiting, drivers use a system known as a "passenger travel chain." This appears to be the norm. As a result, "(Right now), there is less motivation for drivers to pick up passengers in spots that are out of the way," he explained.
