The Government’s decision to lift a freeze on Licensed Taxi (LT) permits has sounded alarm bells among Fiji’s taxi operators, who warn the move could saddle new drivers with unsustainable debt and put existing drivers’ livelihoods at risk. Industry leaders say the policy shift — which will allow more individuals to obtain their own permits — comes without an up-to-date audit of how many taxis are already on the road.
Harish Chandra, managing director of Regent Taxis Pte Ltd, said the immediate availability of vehicle loans means newcomers may manage in the first year, but profitability and vehicle upkeep will quickly become problems. “If they get their own individual permits, in the first year, they will be able to run and get the loan, get the vehicle,” Chandra said. “They will do the loan repayments, but by the second-third year, they wouldn’t have enough money to do even maintenance on the vehicle. And soon the vehicle will be off the road or parked somewhere off the taxi. Running a taxi business is not easy.”
Chandra also questioned the reliability of official permit records, telling reporters the Land Transport Authority (LTA) has not audited the status of the roughly 8,000 taxi permits issued in the country. “Out of 8,000 taxi permits issued in the country, the LTA has not done any audit on how many taxis are good and running on the public roads. There is no data or statistics available on this, and here they are talking about issuing more taxi permits,” he said, calling for greater consultation and industry education before further permits are granted.
The concerns were echoed by Jope Tikoicina, director of Delana Taxis, who warned that a rise in permitted vehicles will dilute fares and hit current drivers’ incomes. “Issuing more taxi permits means, more cars on the road,” Tikoicina said. “With more taxis coming in now, the income of the current taxi drivers will be badly affected.” He and other operators are pressing for measures to protect existing operators and ensure any expansion is managed to avoid oversupply.
Operators are urging the LTA and government to perform an immediate audit of issued permits and active vehicles, and to release clear data on taxi numbers and utilization. They also want staged permit issuance combined with training and financial literacy programs for new permit-holders so they understand the total costs of running a taxi, including maintenance, insurance, and periods of low demand.
So far there has been no publicly available response from the LTA or the Ministry responsible for transport explaining the rationale or timing behind lifting the freeze. For drivers and operators already grappling with fuel costs and vehicle servicing, the sector’s critics warn, an unchecked influx of new permits could see more taxis fall into disrepair, reduce incomes across the board, and strain road safety and regulatory oversight.
As the sector adjusts to the policy reversal, industry leaders say transparent data and engagement with stakeholders must be prioritised to prevent a scramble that benefits loan providers but undermines long-term viability for Fiji’s taxi workforce.
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