Taxi Fuel Surcharge Approved

As reported two weeks ago, Council approved new higher fares for Cobourg’s Taxis – but they deferred a decision on a fuel surcharge.  Taxi owners are struggling to break even and gas at around $1.70/litre is not helping. At the Council meeting on March 14, Council asked staff to report back at the next Committee of the Whole meeting (CoW) and that was tonight (March 28).  Brent Larmer provided the report but left a decision to Council.  His report said that only a few municipalities on the East Coast have implemented a fuel surcharge but that if a surcharge were to be implemented that taxi meters should be recalibrated and the recommended $1 should be added to the pick-up charge.  Councillor Aaron Burchat initially proposed that no surcharge be approved to help affordability but this was not approved.

Councillor Adam Bureau was concerned that Taxis were struggling to break even and we already have a shortage of taxis and long wait times.  Deputy Mayor Séguin, Councillor Emily Chorley and Mayor Henderson all spoke in support of Adam’s amendment to add the $1 per trip surcharge subject to the conditions recommended by Brent.

After a relatively short debate, a motion was passed unanimously to implement the $1/trip surcharge.  For complete details of the new fares, see the Cobourg Internet page in the Resources below.

Resources

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Rob
29 March 2022 9:06 am

So a 5km trip now costs $16.50 including the new fuel surcharge. It may have been prudent to include an annual review of this charge. I’m struggling to understand why there would be a reluctance to allow a ride sharing company into Northumberland County. It likely won’t be less expensive however it will certainly improve availability during peak periods. It would also provide part time jobs to those looking for flexible supplemental income.

The Town and County need to get out of the way on some things, this being one.

John Draper
Admin
Reply to  Rob
29 March 2022 9:15 am

The motion passed included a review in October.

Rob
Reply to  John Draper
29 March 2022 9:53 am

Thanks John.

Small town lover
29 March 2022 9:00 am

When gas prices go down taxi rates don’t go down. Gas is expensive now but everything has gone up in price. Does the town have plans to compensate other businesses in town?
I hope an expensive cab ride won’t effect someone’s decision to drink and drive.

Bryan
Reply to  Small town lover
29 March 2022 11:56 am

Small town lover,
Why would the Town compensate “other” businesses?
The Town isn’t compensating the cabs. The cab users are.
The Town approves cab rates and licenses cabs. That is the extent of their involvement.
Private businesses set their selling prices on their own. No need to get Town approval.

Gerinator
Reply to  Small town lover
29 March 2022 2:01 pm

“When gas prices go down taxi rates don’t go down.” Yep that is how it usually works, not only in the Taxi bus.. Reductions to inflated prices will only come about with increased competition and / or increased supply of competitors. In this situation neither of theses offsets will be available to Cobourg residents.

Ken Strauss
Reply to  Gerinator
29 March 2022 4:10 pm

Gerinator isn’t eliminating competition the objective of taxi licencing? We certainly don’t want a ridesharing service to upset the status quo by offering lower prices or better service!

Howard
29 March 2022 8:14 am

Why is the Town of Cobourg in the Taxi business? Setting rates and discussing fuel surcharges seem like issues left to the actual taxi business owners! I suspect there are other more important issues for debate.

Leweez
28 March 2022 9:24 pm

Not being a person who uses taxis, just wondering exactly how many taxi cab cars are in town, especially say Friday and Saturdays nights.
I assume they are the busiest times.
Also, what would be the consequence of allowing Uber or Lyft to operate?

John Draper
Admin
Reply to  Leweez
28 March 2022 9:33 pm

You can see the total number of licensed cabs at the Cobourg Internet Taxi page – but it’s not known how many operate at any point in time. That’s a good question.

MiriamM
Reply to  Leweez
29 March 2022 9:02 am

hi Leweez, I know people who rely on taxi service to do groceries. They do not have a car and will do a major shop and rely on taxi service to get their groceries home.

JimT
Reply to  Leweez
31 March 2022 6:43 am

Obviously, it’s not just the number of taxis in town, but the number of drivers available to drive them at any particular time, as well.

Another aspect of the whole situation that should be taken into consideration.

Obviously.

Last edited 1 month ago by JimT
Leweez
Reply to  JimT
31 March 2022 7:05 pm

Ok, missing the “obviously” reference, but 👍