Taxi companies feeling the pinch of rising gas prices

Gas prices are causing pain for some people at the pump, especially those who drive around for a living.

Taxi drivers are finding themselves stressed as their cab fare remains the same while the cost of filling up at the gas station continues to climb. The price of a litre of gas in Regina and Saskatoon on Tuesday was $1.79.

Capital Cabs owner Glen Sali says the rising costs have been causing issues for everyone in the industry.

“It’s hurting us quite badly,” he said. “We have to go through the city; we just can’t raise our rates. We’re not like a rideshare. They can do whatever they want. We have to get approval from the city before we do anything.”

Drivers downsizing to smaller cars is one of the many ways some people in the taxi industry are adjusting to these new challenges, Sali said.

Saeed Choudhry of Comfort Cabs in Saskatoon says some drivers have simply found themselves reconsidering their work.

“My brother is not making money because of gas,” he said. “There’s just no point.”

Companies in Regina and Saskatoon have not yet met with their local governments, but Choudhry says it is not out of the equation based on how the situation is going.

“We have a plan to have companies get together and talk,” he said. “We just have to see for a couple of months more. If the price is still going up, then we have to contact City Hall.”

The competition between rideshare and taxi companies remains fierce.

Choudhry is worried a fare increase might end up having a negative impact on local taxi companies if it did end up coming to fruition.

“We’re losing a lot of business to Uber,” he claimed. “There is a lot of competition there.”

Both Sali and Choudhry say talking within the industry is the most important thing they could do before deciding to reach out to City Hall in the future.

There isn’t a timeline in place for when they might make up their minds.