John Rachmat has informed that taxi companies may apply a fuel surcharge in next few days. Rachmat is the transport analyst for Royal Bank of Scotland Asia Securities. He has told that the taxi companies
may go for a fuel surcharge of 50 cents very soon. However, he has also mentioned that the demand on impact is expected to be very less.

So far as Singapore is concerned, it has six other taxi operators in the country. These six operators put 26,000 cabs on the roads of the country collectively.

The managing director of Premier Taxis, Mr Lim Chong Boon has said that this hike is due to the fuel price rise. The price of diesel has gone up by 22 cents per litre now against a year ago period.

For this reason, now the operating cost for the cabs has surged up. He has also estimated that due to the oil price hike, now a cabby spends $9.90 more on fuel on an average of its usage of 45 litres of diesel.

Most of the taxi drivers have also supported this fuel surcharge saying the higher price of living is also the other reason of this hike in surcharge.