Despite working on the problem for one and half years since the PAP government announced that it was reviewing the taxi fare structure in Singapore, Senior Minister of State for Transport Josephine Teo told Parliament on Wednesday that she had no solutions for Singaporeans.

Over the years, commuters have flagged the complicated and often opaque system of taxi fares as a source of concern. There are currently 4 overall components to the structure – a flag down fare, unit fare, surcharges and booking fees. Unit fares refer to the charges levied for distance travelled and time taken.

Teo said that there was no east solution to harmonize the fares as commuters, drivers and taxi companies have conflicting views of how the fare system should be structured.

She said that the best solution was to “”leave the fares as they are now.”

She added that the solution to improving taxi services does not lie in rolling out more taxis.

“Rather than expanding the fleet much more, the focus should be on improving the efficiency of our existing fleet.”

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