XN000022-1984-07-19 — Page 9

THURSDAY, JULY 19, 1984

8

THIS MEANS THERE WILL BE NO CHANGE IN THE EXISTING PREFERENTIAL 15 PER CENT FRT ON TAXIS, COMPARED WITH 90 PER CENT FOR PRIVATE CARS.

THE REVISED ANNUAL LICENCE FEE, AT $2 000 FROM JANUARY 1, 1985, MILL STILL BE SUBSTANTIALLY LESS THAN THE $3 400 FOR PRIVATE CARS OF SIMILAR ENGINE CAPACITY EFFECTIVE SINCE FEBRUARY LAST YEAR.

THE NEW LIMITS ON THE NUMBER OF TAXIS WILL BE PUBLISHED IN GAZETTE NOTICES TOMORROW. REGULATIONS PROVIDING FOR THE REVISION TO THE ANNUAL LICENCE FEE, PROPOSED ON TRANSPORT GROUNDS ALONE, WILL BE MADE LATER THIS YEAR.

A GOVERNMENT SPOKESMAN EXPLAINED THAT FOLLOWING THE TAXI DEBATE IN THE LEGISLATIVE COUNCIL IN JANUARY THIS YEAR, A PROGRAMME OF CONSULTATIONS WAS CONDUCTED BY THE TRANSPORT BRANCH AND TRANSPORT DEPARTMENT TO GATHER PUBLIC OPINION ON HOW TAXIS SHOULD BE REGARDED IN THE CONTEXT OF OVERALL TRANSPORT POLICY.

WHILE IT WAS RECOGNISED THAT, COMPARED WITH THE MASS CARRIERS SUCH AS BUSES, TAXIS ARE RELATIVELY INEFFICIENT ROAD USERS, THERE WAS OBJECTION TO EQUATING TAXIS FULLY WITH PRIVATE CARS.

+ THE GENERAL PERCEPTION WAS THAT TAXIS SHOULD BE REGARDED AS AN ADJUNCT TO PUBLIC TRANSPORT, THE SPOKESMAN SAID.

THE MODERATE INCREASE OF $400, ON TOP OF THE PRESENT $1 600 IN THE ANNUAL LICENCE FEE, WOULD ALTER TO SOME EXTENT THE PREFERENTIAL TAXATION TREATMENT ACCORDED TO TAXIS AT PRESENT.

IT TOOK INTO ACCOUNT THE PRESENT RELATIVELY LOW

PROF ITABILITY OF THE TAXI TRADE. THE TRADE MAINTAINS THAT THE MARKET CANNOT SUPPORT ANOTHER FARE INCREASE TOO SOON AFTER THE FEBRUARY INCREASE,

HOWEVER IF, AFTER A PERIOD, DEMAND INCREASES, CONSIDERATION WOULD THEN BE GIVEN TO POSSIBLE FARE INCREASE IF THE TAXI OPERATORS REQUEST IT.

THE SPOKESMAN ADDED THAT THE MAIN REASON FOR NOT INCREASING THE FIRST REGISTRATION TAX WAS THAT IN THE CASE OF PRIVATE CARS, THE TAX WAS IN PART INTENDED TO CONTROL GROWTH RATE, BUT IN THE CASE OF TAXIS, CONTROL COULD BE EXERCISED BY THE GOVERNMENT LIMITING THE NUMBER OF NEW LICENCES ISSUED.

AS REGARDS THE ISSUE OF NEW TAXI LICENCES, THE SPOKESMAN EXPLAINED THAT THE DISTRICT BOARDS HAD NOT UNANIMOUSLY SUPPORTED A MORATORIUM. SOME MEMBERS THOUGHT THE MAJOR MODES OF PUBLIC TRANSPORT WERE STILL NOT SUFFICIENT. GENERALLY,

GENERALLY, IT WAS CONSIDERED THAT TAXIS HAVE A USEFUL ROLE TO PLAY AS AN ADJUNCT TO PUBLIC TRANSPORT.

+ON BALANCE, THEREFORE, IT WAS DECIDED TO CONTINUE TO ISSUE A LIMITED NUMBER OF NEW URBAN TAXI LICENCES, SO AS TO KEEP UP A DEGREE OF COMPETITION AND HENCE THE LEVEL OF SERVICE, AS DEMAND RISES IN THE FUTURE,+ HE SAID.

/+HOWEVER IN

·