Halifax taxi rates set to rise 16.1%

Slammed by high fuel prices on top of two years of sluggish ridership, being a taxi driver in Halifax is a tough go these days.

“We’re just hanging on,” said Dave Buffett, president of the Halifax Taxi Drivers Association.

“It’s all we can do to keep food on the table, to keep our insurance paid and what not.”

Acknowledging their hardship, on Tuesday Halifax regional council passed a recommendation to increase taxi rates by an average of 16.1 per cent across all fares. Since the average distance of taxi trips in HRM is 4.7 kilometres, most customers will see an increase of 14.58 per cent.

The new rate is effective immediately.

“Nobody likes to see the cost of taxis go up,” said Coun. Waye Mason (Halifax South Downtown). “Often there are vulnerable people who are potentially impacted by that, though a lot of customers and clients are getting chits and if the price goes up, that will still be covered.”

Taxi drivers are in a tough situation, Mason said, as they know the higher rates may temporarily drive down business.

“This is a real challenge for these folks and they weren’t making a whole lot of money before the current crisis, and I think council needed to respond and give them the support.”

Buffett knows this dance well.

“We have to walk a tight line between making a living and not scaring away customers. It’s enough (of an increase) in the sense that we don’t want to price ourselves out of business,” Buffett said in a phone interview Tuesday.

“We really have to strike a balance between being affordable and making a living. This is a pretty good balance.”

Some companies like Casino Taxi, which Buffet drives for, have imposed a fuel surcharge because of the record-high prices for fuel. Andrea Macdonald, acting director of buildings and compliance for HRM, studied the issue and consulted with the local taxi industry. She said she believes the rate increase will negate the need for the fuel surcharges.

Buffett said this increase couldn’t come at a better time – when drivers are struggling and also at the start of the tourist season.

“Tourists are really important to us. We’re certainly not a resort town but tourists are a big part of what we do so yes, it’s good timing, absolutely.”

HRM regularly reviews taxi rates but hasn’t made an increase since Oct. 23, 2012. Last time it was a blended rate increase, but this time, Macdonald recommended a system that frontloads the increase. Essentially, longer trips remain competitive and shorter trips will have the bigger fare increase.

Macdonald said in her research looking into what’s happing in 15 other Canadian municipalities, she found Halifax’s rates were below average. The increase puts Halifax slightly higher than average, but many other municipalities are reviewing their rates too, she noted.