Taxi Fare Review

New Fare Determination – Australian Consumer Price Index (CPI)

From 2016, the Northern Territory Government moved from the complex Basket of Costs model to the Australian Consumer Price Index (CPI) to determine taxi fares.

The CPI measure is an important Australian economic indicator. It provides a general measure of changes in prices of consumer goods and services purchased by Australian households. CPI figures are produced by the Australian Bureau of Statistics (ABS) for each quarter and are compiled according to international standards based on robust data collection and compilation methodology.

To ensure the new fare setting methodology does not increase fares to the extent that taxis are no longer an affordable transport option, a full comparison of fares (every three years) using the previous Basket of Costs methodology be conducted and fares adjusted accordingly if necessary.

Annual Review of Taxi Fares

Taxi fares will be reviewed on an annual basis using ABS CPI September quarterly figures and will come into effect by the end of each year.

How Taxi Fares are Calculated

Depending on when a taxi is used will determine the cost of the trip. Different rate charges apply depending on the time of day, if it is a weekend or public holiday and how many people travel in the taxi. Charges can vary depending on where you live in the Northern Territory.

If the journey involves multiple hirers with more than one drop-off point the driver will ask if you wish to split the fare. If you agree this means each passenger will only pay 75% of what the actual fare would have been if you travelled by yourself.

For further information refer to CPV Information Bulletin CPV24 – Taxi Multiple Hire.

If you are travelling with a group of five or more people you will be charged a high occupancy tariff. There are two charges depending on what time and day of the week you are travelling.

If you travel 6 pm to 6 am Monday to Friday, on weekends or on public holidays the fare is increased. Refer to the Department of Transport’s website for a full list of each region’s fare indicators.

There are six different fare rates that taxis use, please refer to the example and explanation on each of the rates below. Note a rate may also be called a tariff.

cpv fare review

Rate / Tariff 1 (daytime rate) is for a journey from 6 am to 5:59 pm Monday to Friday (times are also the same for rates / tariffs 3 and 5).

Rate / Tariff 2(night and weekend rate) is for a journey from 6 pm to 5:59 am Monday to Friday, and all day Saturday, Sunday and Public Holidays (times are also the same for rates / tariffs 4 and 6).

Rates / Tariffs 3 and 4 are called Multi Hire rates and may be used when there are two separate groups of people starting at the same place but going to different destinations (in the same general direction).

Rates / Tariffs 5 and 6 are called High Occupancy rates and may only be used when there are five passengers or more plus the driver in the taxi.

Last updated: 23 September 2016