'The price of gas and everything is staggering': CBRM hikes taxi rates

Councillors in Cape Breton Regional Municipality voted on Friday to hike local cab fares by 30 per cent.

The vote amends the CBRM's taxi bylaw and the change takes effect on Saturday. It reflects sharply rising fuel, maintenance and insurance costs.

In Sydney, the initial charge for a metered ride will increase from $4 to $5.20 and the cost per kilometre will climb from $1.15 to $1.50.

The last time there was a taxi fare increase was 2008.

"As much as it pains me to talk about a rate increase of that much … the price of gas and everything is staggering," said Coun. Darren Bruckschwaiger.

He said one cab company owner he knows pays $5,000 per car just for liability insurance.

"If he got in an accident, he's out in the woods because it won't even cover his car," said Bruckschwaiger. "That's just for public liability. So, you can just imagine the costs that are involved now for these businesses."

Council did discuss the impact on people who depend on cabs to get around. 

"I think every councillor that's looking at this bylaw change and the 30 per cent increase are very concerned about the effects on our seniors and our low-income people that take taxi services throughout the CBRM," said Coun. Gordon MacDonald.

Councillors also talked about the possibility of allowing cab companies to charge a range of fares to take the sting out of long taxi rides. But there were worries that would lead to price wars and undercutting.

"I'm in favour of the 30 per cent," said Bruckschwaiger. "As much as I feel for the seniors and everybody involved, I think there's no choice in the matter based on what's going on in the industry with gas prices, increased costs. Some of those drivers are working for $10 and $12 a day, I heard just recently."

In the end, the vote was unanimous.

Paul Burt, CBRM's manager of building, planning and licensing laws, said the increase is reasonable.

"What I do note is that from 2008, when we had our last fare increase, to 2022, the consumer price index has increased 31 per cent," he said. "So the increase is certainly in line with how the cost of living has gone up."

The CBRM didn't receive any formal submissions from anyone opposed to the rate increase.

"I personally did not receive any conversations, any phone calls from any resident concerned about the actual amount of money it was going to cost," said Coun. Earlene MacMullin, adding that the taxi bylaw is under an ongoing wide-ranging review and taxi rates can be adjusted again later in the year.