Airport’s Taxi Monopoly Seen as Unfair

TUBAN

The Business Competition Supervisory Commission (KPPU) has said the taxi monopoly at Bali’s Ngurah Rai International Airport may need to be restructured.

Speaking on Monday the commission’s vice-chair, Sukarmi, said the taxi operation from the airport based its prepaid fares on zoning rather than metres.

The taxi monopoly at the airport was run by the airport authorities, rather than by a small business cooperative, she said.

Other taxi firms, such as the public-favoured Blue Bird, known in Bali as Bali Taxi, are allowed to drop off passengers at the airport but are not permitted to pick up passengers there.

Sukarmi said the KPPU generally favoured an open market as competition ensured choice and better value for customers, and added that this could apply to taxi provision at airports, citing Jakarta’s main Soekarno-Hatta International Airport, where there is no taxi monopoly.

“At Soekarno-Hatta you have many options,” she said, adding that as a major tourist destination Bali should be able to provide taxi facilities that are safe and comfortable, with competitive prices.

“If there is only one provider but it is good, there’s no problem. But if there’s only one and it’s unorganised, for example with expensive rates or poor facilities, then that will certainly hurt the consumers,” she said.

Sukarmi said the 1,200-strong fleet operating form the airport used a flat destination-based tariff that was much higher than metered rates charged by other taxi operators operating outside of the airport facilities. She said the commission would examine the practices at the airport before making a judgement on the issue.

“We will gather input from stakeholders so that the KPPU can perform its analysis and draw accurate conclusions,” she said.

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2 Responses to “Airport’s Taxi Monopoly Seen as Unfair”

  1. pete Says:

    I wonder that this took so long.
    Compared with the taxis outside of the airport, the fares are totally overpriced.
    The first impression a tourist gets after arrival at Bali is a rip off at the taxi stall.
    Not really a nice welcome.

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