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Saturday, Feb 22, 2025

Lawmakers undecided on extent of taxi fare increase

Lawmakers undecided on extent of taxi fare increase

Increasing the basic fee of “red” taxis – those traveling in Kowloon and Hong Kong Island – from HK$24 to HK30 is a reasonable adjustment for the industry, said lawmaker Michael Lee Chun-keung.
Yet, another lawmaker Kitson Yang Wing-kit from the Kowloon Central constituency voiced objection to the high levels of fare adjustment.

Speaking in a Legislative Council meeting Friday, Lee from the Election Committee constituency said the current extent of fare adjustment is still lagging behind the rising costs for drivers, and it fails to attract new blood for the taxi industry. He also called on the government to adjust taxi fares regularly.

On the other hand, Yang said he is not against increasing the basic fare of a taxi. Yet, he believed the proposed increase is way too high without taking citizens’ affordability into account.

The issue was put forward in the council after the taxi industry – including those operating in urban areas, New Territories, and Lantau – earlier applied for adjustments on the basic fee ranging between 20 to 26 percent.

Responding to the two lawmakers, Secretary for Transport and Housing Frank Chan Fan admitted the income for taxi owners and drivers has been falling amid the rising operation costs.

He pointed out that the taxi industry last increased its basic fees five years ago, in April 2017, and deemed it necessary to handle their recent application. He also stressed that the government would take into account the level of acceptance by the public.

Chan noted that the government has given several recommendations to “revolutionize” the industry as well, including introducing a point system over drivers’ misconduct such as overcharging, refusing passengers, and taking a longer route.

Kowloon East constituency lawmaker Bill Tang Ka-piu soon challenged the idea of targeting cabbies, saying authorities could hardly know if a driver was taking a longer route or not.

Commissioner for Transport Rosanna Law Shuk-pui then replied that authorities won’t deduct points from a driver easily just because they receive complaints.

Other recommendations proposed by the government include increasing the passenger limit from five to six and relaunching the fleet management system. The government plans to table the taxi fare adjustment application and other suggestions to the council in May or June.
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