Japan's transportation ministry has proposed a roughly 10% increase in Tokyo taxi fares to raise drivers' incomes. The plan includes shortening the base fare distance and other adjustments amid inflation pressures.
Japan's Ministry of Land, Infrastructure, Transport and Tourism (MLIT) submitted a proposal on Wednesday to a Cabinet Office consumer committee to raise taxi fares in Tokyo's 23 wards and surrounding cities. The move aims to boost overall revenue by an estimated 10.14%, primarily to increase drivers' incomes.
Key revisions include shortening the distance covered by the ¥500 ($3.15) base fare from 1.096 kilometers to 1 km. The additional fare, currently ¥100 every 255 meters, will apply every 232 meters. In heavy traffic, where speeds fall below 10 km per hour, the ¥100 time-based charge will apply every 85 seconds, down from 95 seconds.
This adjustment addresses income challenges for taxi drivers amid tourism recovery and inflation. The plan's impact on passengers is under review by consumer groups.
