The cab drivers said it was becoming difficult for them to survive given the rising consumer price index and sheer expenses of maintaining and running a cab service in Mumbai
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Mumbai's black and yellow taxi drivers have agreed to a rise in minimum fare from existing Rs 22 to Rs 25, instead of Rs 30 as demanded earlier, promising to improve services and their behaviour. Their demands may soon be accepted as they had a successful meeting with the state government over the weekend.
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"If we calculate the cost of living and index, the fare ideally should go up to Rs 27 and hence we had rounded off to the closest figure that is Rs 30. But we also have to see the business and remain practical and hence we have decided to round off the figures to Rs 25, Mumbai Taximen's Union leader Anthony L Quadros told mid-day on Thursday.
They said it was becoming difficult for them to survive given the rising consumer price index and sheer expenses of maintaining and running a cab service in Mumbai.
Quadros said there had been no fare hike since 2015 and they first approached the Maharashtra government last year seeking to hike Rs 3.
Also Read: CNG rates hiked, autos, taxis demand fare hike
Explaining the math, he said, "The last minimum taxi fare was revised from Rs 21 to Rs 22 exactly four years ago on 1 June 2015 on the directives of Bombay High Court. Taxis in Mumbai run on CNG and there has been a hike in CNG rates for five times, once in 2017, thrice in 2018 and once in 2019. There has been a total rise of Rs 9.26 in the CNG rates."
"The consumer price index has also risen tremendously during the last four years and the rates of third-party insurance premiums have also gone up. The Khatua Committee had in December 2017 recommended rising of fares by Rs 1 per km, but for some reason, the government has not accepted their suggestions. And taxi drivers are losing a sum of Rs 1 per km on CNG alone and they are not able to observe the loss with CNG prices going up continuously.
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