Taxi passengers in South Africa may face increased travel costs if rising operational expenses and fuel prices force certain taxi associations to adjust fares. SANTACO states that no general fare increase has been confirmed, but the associations will consult with passengers before implementing any changes.
SANTACO warned that the taxi industry in South Africa is facing growing pressure due to rising fuel and operating costs, as drivers prepare for a potential record price hike of more than 3 rand per liter in October.
This warning came amid data from the Central Energy Fund indicating a significant rise in the cost of petrol and diesel; potentially, unleaded 95 petrol could increase by more than 3 rand per liter, and diesel fuel faces a similar increase.
Minister of Mineral Resources and Energy, Gweed Mantshe, reported that there are currently no plans to mitigate the impact of rising fuel prices on households and businesses.
Mantshe noted: 'Currently, no interventions are planned, partly due to the ongoing volatility of petroleum product prices.' He also emphasized that 'the department continues to administer fuel prices transparently, as prescribed by law.'
Will taxi fares increase?
A SANTACO representative, Rebecca Mmatshihidi Fala, stated that the organization is closely monitoring the situation, but it is too early to speak about taxi fare increases. Fala clarified that the taxi associations have only implemented one fare increase since the start of the fuel price rise in March 2026, while operators are also facing increased costs for maintenance, administrative needs, and other business expenses.
She explained that any decision to raise fares will be made by individual taxi associations based on their operating costs and profit margins, following consultations with passenger organizations. Fala added: 'At this stage, we cannot guarantee whether further fare increases will be necessary. Passengers are already paying significant amounts for public transport, while operators continue to face rising administrative, operational, and business costs.'
Fala also reported that if fare adjustments are considered by individual taxi associations, they will engage with their passenger communities and provide necessary information before implementation. She mentioned that the SANTACO Taxi Fare Index generally does not encourage fare increases of more than 10% at once, unless conditions become exceptionally difficult. Nevertheless, she stressed that a general increase is not being considered, and any adjustment will depend on the circumstances of individual routes.
SANTACO calls for government support
Furthermore, SANTACO appeals to the government to provide fair subsidies for public transport to help alleviate the burden of rising operational costs for both taxis and passengers. The organization stated its readiness to consider temporary state assistance measures.
Fala noted that 'the taxi industry operates in a complex socio-economic environment, and operators cannot indefinitely absorb rising costs for fuel, vehicle maintenance, administrative, and other business expenses, which will ultimately put additional pressure on the sector's sustainability.' She concluded that 'if fare adjustments are introduced by SANTACO affiliated associations, passengers will be engaged and informed accordingly. SANTACO also calls on passengers to maintain understanding and empathy for the challenges faced by the taxi industry during these difficult socio-economic times.'