Transport minister Fikile Mbalula has threatened to refer a decision by some Gauteng taxi operators to hike fares by over 100% to the Competition Commission.
The Alexandra Taxi Association (ATA) and the Alexandra, Randburg, Midrand, Sandton Taxi Association (Armsta) said they would be increasing their fares by over 100%, arguing they are facing serious losses due to the lockdown regulations.
This means a single trip from Johannesburg to Alexandra, which currently costs R13, will be R30, a 130.7% surge. The new fares start on June 15.
Mbalula yesterday said he was aware of the problems and urged taxi associations to be mindful of the poor when re-determining fares, especially in light of the financial relief that the government was finalising to assist the industry.
Mbalula said current regulations prevented illegal profiteering, as a result, he was enjoined by the regulations to refer the matter to the Competition Commission to assess if the fare increases were fair and justifiable.
"We are aware that some taxis have not been operating for some time now and that those which have been operating have been doing so at a limited capacity.