Tanzania: Dar Taxi Fares Down After Fuel Price Cut

THE reduced price of petroleum products has pushed down taxi fares in some parts of Dar es Salaam City.

‘Daily News’ spot survey showed that charges have gone down slightly as taxi and ‘bodaboda’ drivers cut fares in a bid to court more passengers thanks to fuel price drop.

Two days ago, Energy and Water Utilities Regulatory Authority (EWURA) announced fuel price cut based on dropping of global prices. EWURA report showed that for Dar es Salaam, petrol price dropped by 141/- per liter, diesel 212/- a liter and kerosene 167/- a liter.

Some interviewed motorists indicate that the reduction will increase their saving thus have extra power to make extra purchase of fuel or other households items.

Leonard Joseph, a city motorist residing in Segerea, said the reduction is something and will be directed to family needs. “The school fees have eaten our savings thus the saving from fuel will make our life slightly easier,’ Mr Joseph said.

He said the saving will be even great if the fuel price drop continue to February as well. Some taxi drivers in Tazara Area also said the reduction was good especially in January as passengers are walking on tight budget.

Mr Salehe Nyagongo, a taxi driver at Tazara Station, said they have lowered prices substantially for instance Tazara-Ubungo cut fare to 10,000/- from 15,000/- as of yesterday.

“This enables many passengers to use taxies as price has gone down… fuel price drop is a nice incentive to us and our fares,” Mr Nyagongo said. The fare cut also applied to motorcycle (bodaboda) taxi operators.

The survey indicates that bodaboda fare from Tazara to Mbagala dropped to 4,000/- from 5,000/-. However, the fuel price drop announced by EWURA was not welcomed by filling stations operators.

Some said they had some old stock bought using the previous price and once the price dropped overnight they incurred some losses.

Upanga’s Puma Petrol Station Manager Mr Iddy Rashid said while motorists are enjoying the new lowered prices they’re counting losses.

“Relevant authorities should derive a mechanism of notifying us in advance when prices drop… to safe guide our income,” Mr Rashid said. He suggested the authorities to issue a notification when prices either drop or rise to avoid any kind of loss to either sides.

“At the same time, the authorities should stick on law reinforcement to make sure that no sellers will hold stock when prices increase,” Mr Rashid said.

Another filling station manager said: “We are selling the old staff in loss since we bought the stock at higher price than the announced one

He suggested filling station operators to be notified when prices go down in not less than three days or seven days to avert incurring losses.

EWURA normally announces a new fuel price at the beginning of each month and for the last three months prices were on climbing binge.


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Publish date : 2019-01-03 13:37:35

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