Pump prices hurt cabbies, customers

Published Wednesday May 14th, 2008
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The rising price of gas will have taxi customers reaching deeper into their pockets this summer.

Most Fredericton taxi companies have already increased their rates.

George's Skycab will hike its rate today.

"It works out to 10 per cent. In longer runs, it increases accordingly, but it's about 10 per cent," said Don Webster, owner of George's Skycab.

This will result in the basic fare going up 50 cents. Fares from the airport won't change, but a cab to Oromocto will increase by a couple of dollars.

"It's the long hauls that really hurt us in the fuel costs, so that's where we need to make up the money," said Webster.

Several other companies in the city increased their rates earlier this week. They also blamed the high price of gas.

Ron Grant has been a cabbie for 14 years.

"I own my own car. I'm a broker, emphasis on the broke." Grant said, adding cab drivers earn well below the standard.

"The prices in Fredericton are 50 per cent lower than the national average. In most cities, the price is set by the city, and they have meters."

Checker Cab hasn't increased its fares and owner George Youssef is uncertain if he will charge more.

"We are taking a wait-and-see approach. That is not to say prices won't go up," said Youssef. "If the price of gas continues to skyrocket, we will have no other choice but to go up.''

Gas is $1.24 per litre for regular. It's expected to go higher as the summer driving season kicks into full gear.

"We have been putting this off for some time since it's gone over a dollar," Webster said. "It was starting to hurt; we were hoping it would back off. But it doesn't look that way. It looks like it's going the other way, for sure,"

Youssef said gas is a cab company's biggest expense.

"We are putting $65 in a car every day, when this time last year it was only $40."

Youssef said increased fares still won't bring Fredericton on par with the rest of the province.

"It's got nothing to do with gouging the customers. Cab prices in Fredericton are the lowest in the country and are 30 to 40 per cent lower than Moncton and Saint John, so we are way behind there," he said.

Youssef and others in the cab business would like to see the city implement a meter system. But Coun. David Kelly said that isn't something residents will likely see.

"The city's role is to make sure the cars are safe and in good condition for our tourists and the public. It's not our job to determine pricing," said Kelly.

Webster said customers are usually understanding about the increased rates.

"Nobody likes it,'' said Webster. "In most cases, people expect it and they are surprised we haven't done it before.''

His company has brought back a free-ride campaign. After each ride the customer receives a ticket and 10 tickets are equal to one basic fare of $6.50.

"It's a way to ease the pain," Webster said.

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Maybe if they didn't drive so aggressively they'd get better fuel economy! No need to put the pedal to the mat when the light turns green. No need to go 70 or 80 in 50 zones.

No sympathy from me...
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Anonymous Reader on 14/05/08 09:11:04 AM ADT
Not to mention the idle times. As a ex cabbie I know these engines are never ever shut off.
Being a green city there should be a no idling bylaw rather than a no skateboard law.
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Ryan T., Nashwaak Bridge on 14/05/08 10:47:01 AM ADT
And again, the increase in gas prices is being highly exaggerated. One year ago, prices were around $1.10/litre, and now they are around $1.25. George Youssef says that a $65 tank of gas today would have only cost $40 when in reality, at $1.10 a litre, it would have been about $57 last year. If it was indeed $40, that would put gas prices at $0.77/litre.

And again, the Gleaner publishes quotes from people who don't know what they're talking about...
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Oliver D., Fredericton on 14/05/08 01:10:19 PM ADT
"The city's role is to make sure the cars are safe and in good condition for our tourists and the public. It's not our job to determine pricing," said Kelly.

Nearly every CITY in the country regulates prices for taxis.

Tourist and business folks from all over Canada comment frequently that my cab is a major improvement over those from their hometown. They are also amazed that they can get a ride anywhere downtown for $4.50, because it cost nearly that much just to get in a cab in their hometown.

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Ken B, Fredericton on 14/05/08 07:45:45 PM ADT
Oliver, I think George Yousef knows what he is talking about, he does own the largest cab company in the city. He may be off a bit in his math. But you are right the Gleanor does seek quotes from people who don't konw what they are talking about. That seems to be the main function of a blog....
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Ken B., Fredericton on 14/05/08 07:54:00 PM ADT
His math is off by more than "a bit". I have no doubt Mr. Yousef knows what he is talking about, but it seems to me he is simply exaggerating the situation.
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Oliver D., Fredericton on 15/05/08 12:16:50 PM ADT
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