Singapore's largest taxi operator, ComfortDelGro, will roll out a temporary "driver fee" for bookings made through its CDG Zig app, as rising fuel prices continue to put pressure on drivers.
The company announced on Tuesday, March 17, that the move is intended to help ease the financial burden faced by drivers amid the sharp increase in fuel costs. Under the new measure, passengers will pay an additional S$0.50 for trips costing below S$15, and S$0.80 for fares of S$15 and above.
In addition to the booking fee, ComfortDelGro will also implement a slight increase in metered fares, with a S$0.01 rise in the distance-time rate for all trips. According to the company, these adjustments are temporary and will take effect from March 24 to May 31.
"All of these fees will go directly to our drivers," Michael Huang, who heads ComfortDelGro's Singapore point-to-point mobility business, told CNA, underscoring that the changes are aimed at supporting drivers' incomes during a challenging period.
The latest measures build on earlier efforts by the company to cushion the impact of rising fuel prices. Earlier this month, ComfortDelGro said it would absorb part of the increased fuel costs at its pumps. It also introduced a taxi fuel credit incentive programme to provide additional relief.
Industry representatives have acknowledged the strain on drivers.
Teo Siew Pan, executive secretary of the National Taxi Association, said that global developments have contributed to the spike in fuel prices, placing added pressure on those in the trade. He said the combination of the new driver fee, fare adjustments, and fuel cost support would offer more immediate financial relief with each trip.
Fuel prices in Singapore have risen significantly in recent weeks. Market data shows that 95-octane petrol prices climbed from around S$2.87 to S$2.88 per litre in late February to between S$3.39 and S$3.47 per litre. Diesel prices have also seen a sharp jump over the same period, rising from about S$2.57 to S$2.66 per litre to as high as S$3.56 per litre.
The surge has been linked to ongoing international tensions affecting global energy markets. ComfortDelGro said it will continue to monitor the situation closely and adjust its support measures where necessary to ensure drivers remain supported during this period of volatility.
