Some owners fear they will shut down if spiralling costs at the pump don’t ease soon.
Crown Cabs director Jacqui Shephard said her fleet of 35 drivers across Victoria are doing it “tough”.
Crown Cabs Victoria is doing it tough as regional communities face skyrocketing fuel costs and shortages. (Supplied)
She said the taxi company was already struggling with the rising popularity of rideshare apps and independent operators who shirk the regulations.
“We’re looking at things like… do we stay open? And we’ve been looking at that for a little while,” Shephard told Nine.com.au.
“Because we wear the fuel cost, which means that, with any more costs going up, it’s not even worth us staying open.”
Shephard said Crown Cabs’ regular customers in regional communities rely on the service for wheelchair-friendly trips or to attend healthcare appointments.
Often, drivers are heading back to town with no passengers.
These “empty” rides still use up fuel and after diesel surged to over $3.20 a litre, that is potentially hundreds of dollars wasted.
Taxi companies cannot pass on the spiralling costs to customers due to tight regulations. (Getty Images/iStockphoto)
The price of diesel has hit $3.20 a litre nationally. (Louie Douvis)
“Our costs have gone up considerably,” Shephard added.
“It’s really tough. And there doesn’t seem to be any reaction or any support from the state or federal government.”
Some taxi drivers have reported seeing their weekly diesel bill double from around $400 to over $800.
But taxi companies are not able to pass on the cost of fuel to customers due to the industry’s tight regulations.
There is legislation capping the maximum fares that taxis can charge in Victoria, meaning surcharges to cope with the cost of fuel are out of the question.
Even if they could, Shephard said her customers are “already struggling enough” as it is.
“We want to be there to help those people. We’re not going to be raising our prices ridiculously – and we can’t,” she said.
The price of diesel from this service station at Palm Beach on Sydney’s Northern Beaches has hit $3.39 per litre. (Supplied)
Shephard said there has been a rise of independent drivers who refuse to play by the rules too.
“We have to abide by everything,” Shephard said.
“And you’ve got all the idependents who are just rogue cowboys who take work away from those doing the right thing and give the industry a bad name.”
For companies like Crown Cabs, it remains to be seen if the federal government’s decision to halve the fuel excise for three months will help lower costs.
The government convened in a national cabinet meeting yesterday to urgently discuss ways to ease the supply issues and high prices impacting motorists.
Fuel availability is dwindling around the country as stock is depleted.
In Victoria alone, out of a total of 1,627 petrol stations, 82 are without diesel and 40 are without any petrol at all.
NEVER MISS A STORY: Get your breaking news and exclusive stories first by following us across all platforms.