Taxi operators decry roll back

Citing the impact of high gasoline prices, taxi operators yesterday decried the move of the Commerce Department to enforce emergency regulations that would decrease taxi fares effective today.

Under the emergency regulations, flag-down rate remains at $2.50 for the first half-mile traveled by taxicabs. The new regulations, however, set the fare rate at 25 cents per succeeding half mile traveled, approximately 84-percent less than the previous rate of 75 cents per succeeding quarter mile.

A group of taxi operators stationed at the Hyatt Regency Saipan voiced out their dismay over the fare reduction.

“We can’t survive with this fare. Right now, we almost can’t survive. If [the government] don’t want us to do taxi [operations], just tell us to go to sleep,” said Asik Mahmud, whose taxicab operations fall under the umbrella of Sunrise Corp.

The company, Mahmud said, consists of taxi operators with a total of 10 taxicabs.

“Everything is going up. Our food has higher prices. We pay the Commonwealth Utilities Corp. double than before. Only taxi fares are going down,” Mahmud said.

What should have been reasonable for Mahmud and his fellow taxi operators at Sunrise company is for the government to increase taxi fare rates, citing the high cost of gasoline.

He also said reducing fare rates would not help legitimate taxi operators compete with those running illegal taxi operations.

“This [fare reduction] is not how we beat them [illegal taxi operations]. They need to pay insurance, taxes, business license fees, and all the fees, then we can beat them,” Mahmud said.

Despite his disagreement with the regulations, Mahmud said taxi operators have no choice but to comply with the law.

Md. Saiful Islam, owner of Saiful Taxi Service that operates 10 taxicabs, couldn’t help but shake his head when interviewed about the taxi fare reduction.

“Actually, right now, we don’t have a choice,” said Saiful, who added that the government should have thought about the move before implementing the fare reduction.

Like Mahmud, Islam also said the fare reduction would not help taxicabs at all, not even with competing against illegal taxi operators, saying that the later could still charge customers at $3 per ride.

Islam described the fare reduction as drastic, saying that broader discussions should have happened first before implementing the regulations. He said that, while a reasonable fare should not be heavy on tourists’ pockets, it should also be “not hard for us too.”

“If they reduce the taxi fares, we can’t afford to continue our business,” Islam said. “Gas is expensive. We do not have enough customers from Japan.”

Commerce Secretary Andrew Salas has adopted emergency regulations that would decrease taxi fares before the Christmas holidays.

The regulations state that, besides the reduction of taxi fares, they also aim to combat drunk driving, which has historically been high during the month of December. They also require taxicabs to post fare schedules in different languages, including English, Chamorro, Carolinian, Japanese, Korean, and Chinese.

Assistant attorney general Eric O’Malley added that the regulations would make legitimate taxi operations competitive against illegal taxicab operations. He said the move would also encourage people to tour around the islands, as well as community members to use taxicabs more often.

O’Malley, however, clarified on Tuesday that recalibration of taxi meters could take some time even though regulations would take effect today. He said the government would provide publicity incentives to taxicab operators who could have their taximeters recalibrated to reflect the new rates at once.

The emergency regulations, which amend the Taxicab Regulations, will be effective for 120 days unless adopted as permanent regulations.

They also allow the operation of minibuses on routes designated by the Commerce Department. Minibuses—vehicles with a seating capacity for less than 12 passengers—may only charge a flat rate of $2 per person for every trip pursuant to the regulations.