Nov 20, 2011

Taxi ride gets dearer

KATHMANDU, MAY 17 -
Travelling by taxi will get dearer henceforth. The government on Tuesday increased taxi fare by 17 percent following pressure from taxi entrepreneurs and increase in fuel price. Now, it will cost Rs 27 per km, up from Rs 23 per km.

The Department of Transport took the decision after receiving approval from the Ministry of Labour and Transport Management. The department said the new fare will come into effect form Tuesday. It added that the flag-down fare of Rs 10 has not been
changed.

The department had been working on adjusting taxi fare for the last three months, since the implementation of the new public transport fare. Krishna Prasad Dawadi, acting director general of the department, said they increased the fare based on the fuel price hike and vehicle operating cost.

Taxi fare was last increased in March 2010 when the petrol price was at Rs 77 per litre. Now, petrol costs Rs 97 per litre. According to the department, the hike in the fare is also supported by the increment in bank interest rate, maintenance charge, price of spare parts, and lubricants.

Ram Bahadur Shrestha, president of Nepal Metre Taxi Entrepreneurs’ Association, said they had been long demanding that the government increase the fare. “It was necessary, as the fuel price has already increased by Rs 20 per litre,” he added.

The department has also hiked tourist taxi fare for travelling within the Kathmandu Valley. As per the revised rate, it will cost Rs 370 for up to 5 km distance, up from Rs 315. For distance over 5 km, travellers have to pay an additional Rs 53 per km.

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