Taxi rates increase due to gas prices

Gravenhurst,ON
Jun 25, 2008

While anyone who drives a vehicle is feeling the impact of rising gas prices, those who depend on taxicab transportation will also feel the impact of fuel costs in their wallet.

Last Tuesday Gravenhurst town council agreed to raise the fares being charged by Gravenhurst Taxi after the company requested rate changes. The cab operator says fuel costs are its second highest expense behind drivers’ wages.

The new fares increase by 10 per cent to a flat fare of $3.30 from $3. The price for every tenth of a kilometre travelled will also increase by 22 per cent to 22 cents from 18 cents. For seniors, the flat fare increases 11 per cent to $3 from $2.70, plus 20 cents for every tenth of a kilometre travelled, up from the previous price of 15 cents.

Gravenhurst Taxi had no problems justifying the increase to staff and councillors, noting the last time a rate change was made was in 2005, when gas was about 79 cents per litre.

Chief bylaw officer Jim Wouters said he received the request from Gravenhurst Taxi when gas prices were $1.22 per litre. He said the price of fuel has increased 13 cents to $1.35 per litre in some areas since the request was received.

Waiting time for regular and senior fares will also increase 25 per cent to $30 from $24 per hour or 50 cents per minute, up from 40 cents per minute.

“If gas prices go the way they say they’re going to and are $1.50 a litre this summer, I would suspect (Gravenhurst Taxi) will probably come before the committee again,” Wouters said in recommending the corporate services committee approve the fare increase.

He said Bracebridge town council has received a similar request for a taxi fare increase from operators in Bracebridge. “It’s expensive to fill up a vehicle these days,” Wouters added.

With little discussion on the issue, town council approved the bylaw to change the rates effective immediately.