ComfortDelGro to introduce temporary charge for app bookings amid rising fuel prices

SINGAPORE: ComfortDelGro will implement a temporary "driver fee" for bookings made through its CDG Zig application as fuel prices continue to climb, it said on Tuesday (Mar 17).

The move is aimed at easing the financial strain on drivers brought about by the rising fuel prices, it said.

In a statement, Singapore's largest taxi operator said that the driver fee will be S$0.50 (US$0.39) for fares below S$15 and $0.80 for fares of S$15 and above.

A temporary S$0.01 increase to the distance time rate for all metered trips will also be introduced.

"All of these fees will go directly to our drivers," said Mr Michael Huang, head of ComfortDelGro's Singapore point-to-point mobility business.

Earlier in March, ComfortDelGro said that it would absorb a portion of the increased fuel costs at its pumps to cushion the impact of fuel price increases on drivers.

"We will continue to monitor the situation closely and remain committed to ensuring operational stability for our partners during this volatile period," said the taxi company.

Executive secretary of the National Taxi Association Teo Siew Pan said: "The fuel price increases due to the ongoing international conflict are causing stress on our taxi drivers. The driver fee, the increase in metered fares, and Zig by ComfortDelGro's partial absorption of fuel costs at their pumps will give drivers more direct support with each trip they make.

"We hope this helps them sustain their livelihoods through this period."