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ComfortDelGro will introduce a temporary increase in distance fares on all its taxis in response to the sharp increase in fuel prices.

The revision will see fares increase by about 32 cents for a trip of 10km; flagdown fares remain unchanged.

It will come into effect from Apr. 4, 2022, and will be reviewed at the end of May 2022.

Conflict in Ukraine increasing fuel prices

In a Mar. 28 press release. the taxi service provider said that the decision to raise fares was made after "strong feedback" from its drivers.

"Assuming an average of 10 to 12 trips a day, cabbies’ earnings are expected to improve by between S$3.20 and S$3.84 daily," read the press release.

"This will help to cushion the impact of the recent surge in fuel prices, which has increased their daily fuel costs by between S$3.55 and S$13.50 in the last month alone."

ComfortDelGro CEO Jackson Chia said the conflict in Ukraine had meant that cab drivers were now paying close to 14 per cent more for petrol as compared to the month of February.

The press release cited the 50 per cent rise in global oil prices in the last six months which have seen market pump prices crossing the S$3 mark.

Drivers will also be extended a one-time rental rebate of S$90, a pro-rated amount is given to those who don't drive the entire 31 days in March.

Previous fare increase the first in a decade

The temporary measure comes after ComfortDelGro's Mar. 1 fare increase, the first time in a decade, justified by the company, as a way to alleviate the increase in fuel costs and other operating expenses.

That increase saw flagdown fares rise by 20 cents, while distance fare and waiting time fares increased by two cents.

Grab and Gojek also recently announced temporary fees to help its drivers defray higher operating costs.

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Top image by Sean Lim via Unsplash