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Taxicab companies take issue with roaming ban
Published in The Saudi Gazette on 17 - 01 - 2016

JEDDAH – The Transport Ministry has plans to prevent taxis from roaming the streets looking for passengers by introducing an electronic call system.
However, investors in the transport sector have pointed out difficulties they face when the ban is imposed in the absence of electronic maps supported by all service providers.
"Requesting taxis through mobile and land phones faces difficulty in the absence of an electronic map, especially in underdeveloped districts. It will be difficult to identify the location of customers who seek the service," one investor told Makkah Arabic daily.
The investors agreed that the ministry's move to prevent roaming would cut down consumption of petrol and encourage the public to accept a slight increase in fare.
Faisal Al-Qahtani, a member of the taxi committee at Jeddah Chamber of Commerce and Industry (JCCI), expressed his fears that taxi companies would exploit the meager rise in fuel prices to hike fare.
"Compared to other countries, the fuel price in the Kingdom is very low.
The government decided to increase fuel prices recently to protect public interest. But taxi drivers have doubled the fare," he said, calling for measures such as application of a unified price, use of meters and a ban on roaming.
Al-Qahtani backed the demand of investors that the ban on roaming should be accompanied by the use of electronic map by all companies to identify the place of customers quickly.
"We may face difficulty to identify the location of customers seeking the service in underdeveloped districts. This will be an issue while imposing the ban on roaming," he said, adding that majority of customers live outside city limits.
"Some taxi companies apply smart systems without the ministry's permission. This should be stopped as they create an unfair competition," Al-Qahtani said.
Siraj Al-Harthi, a member of the transport committee at JCCI, said the Transport Ministry has conducted a number of studies to reorganize the taxi sector and reduce the impact of fuel price rise on the sector.
"It has planned a new system to provide taxi services, which is followed in some neighboring countries. Taxis will be parked in some areas of the city and they will move only when a customer requested the service through phone," he explained.
In Jeddah, there are more than 500 taxi companies and their cars roam the streets, causing unnecessary traffic congestion and increasing oil consumption.
Al-Harthi said the presence of unauthorized taxis threatens the security and safety of customers. "Most drivers of these illegal companies are foreigners about whom security agencies have no clue."
Al-Harthi emphasized the need to adopt a unified taxi system supported by modern technology. "People must be informed that there is a unified taxi fare to be followed by authorized taxi companies. They should also know that the starting price is SR5 while the waiting charge at signals is 0.60 halalas per minute while the meter charge per kilometer is SR1.70. However, customers can reach an agreement with taxi drivers on the basis of this unified fare," he explained.


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