Dynamic Pricing, aka “Surge Pricing” entails that when demand is high, fare prices go up too)
Of course, it also means fares could be lower than metered rates during off-peak hours (but we all know taxi companies and their pattern lah).
The dynamic pricing option for ComfortDelGro taxis will be offered through the Uber app, and a new UberFlash function.
Commuters requesting a ride will be matched with the nearest ComfortDelGro taxi or Uber private-hire car.
UberFlash charges a base fare of S$3, with a per kilometre rate of 45 cents.
In comparison, the metered rates for ComfortDelGro taxis are higher – a base fare of between S$3.20 and S$3.90, and a distance charge that works out to 55 cents a kilometre for the first 10km, and 63 cents per kilometre thereafter.
Commuters who aren’t keen on using UberFlash can still hail taxis by the street, or book a taxi through ComfortDelGro’s booking app or hotline and pay a metered fare.
The Dynamic Pricing move comes after ComfortDelGro acquired a 51 per cent stake in Uber’s rental car subsidiary, Lion City Holdings.
That deal is still under review by the Competition Commission of Singapore.