27/10/2010
Amid protests from the current taxi monopoly, Zagreb's Assembly is liberalising the market.
By Natasa Radic for Southeast European Times in Zagreb -- 27/10/10
Amid protests from the current taxi monopoly, Zagreb's Assembly is liberalising the market.
By Natasa Radic for Southeast European Times in Zagreb -- 27/10/10
Taxi drivers lined up their cars in the historic centre of Zagreb on Tuesday (October 26th) to protest a decision to end the monopoly of Radio Taxi Zagreb, currently the only provider of taxi services in the capital.
More than 50 cars blocked Gornji grad, an old part of the city with narrow streets and limited traffic, and effectively cut off the area.
A few days earlier, they sought to tie up traffic by deliberately driving at a slow speed along the city's main roads. The drivers fear that introducing competition will push down prices and lead to job losses.
The efforts were in vain, however. Zagreb's municipal assembly is adamant about the need to break up the monopoly in order to improve services and get more cars on the road.
Rudolf Snidarsic, 57, was among those who gathered in front of the assembly building and blocked traffic together with his colleagues. He told SETimes that he has been working as a taxi driver for 30 years and fears that the changes will undermine his livelihood.
"If this happens, I am sure I will not work as the taxi driver anymore. If the cheaper competition arrives, we are doomed," Snidarsic said.
There are currently 1,034 taxi licences in the Croatian capital, and the number is now set to increase by 270.
"We are disappointed because nobody listened to our voice," said Mirsad Kukic, a spokesman for the taxi drivers. "We are aware that the competition will immediately start price dumping, and thus we will be out. They will just take the money and vanish."
More than 50 cars blocked Gornji grad, an old part of the city with narrow streets and limited traffic, and effectively cut off the area.
A few days earlier, they sought to tie up traffic by deliberately driving at a slow speed along the city's main roads. The drivers fear that introducing competition will push down prices and lead to job losses.
The efforts were in vain, however. Zagreb's municipal assembly is adamant about the need to break up the monopoly in order to improve services and get more cars on the road.
Rudolf Snidarsic, 57, was among those who gathered in front of the assembly building and blocked traffic together with his colleagues. He told SETimes that he has been working as a taxi driver for 30 years and fears that the changes will undermine his livelihood.
"If this happens, I am sure I will not work as the taxi driver anymore. If the cheaper competition arrives, we are doomed," Snidarsic said.
There are currently 1,034 taxi licences in the Croatian capital, and the number is now set to increase by 270.
"We are disappointed because nobody listened to our voice," said Mirsad Kukic, a spokesman for the taxi drivers. "We are aware that the competition will immediately start price dumping, and thus we will be out. They will just take the money and vanish."
"We are also in favour of the market liberalisation, but for ten years the city authorities did not allow us to have more drivers per each car," he added. Radio Taxi's drivers have sought to meet the challenge head on by offering a 50% discount.
The bad news for drivers may be a blessing for the consumer, however. Many people consider the current taxi prices exorbitant.
"I don't remember the last time I took a taxi in Zagreb. It is just too expensive. I mean, why can I afford to take a taxi in Prague or Warsaw, and not in my own hometown?" said Josip Jurjevic, an economist. "I am happy that there will be a competition now."
A Rijeka-based competitor, Taxi Cammeo, is waiting to enter the market and says its drivers are ready to pick up passengers as soon as the assembly gives the green light.
This content was commissioned for SETimes.com.
The bad news for drivers may be a blessing for the consumer, however. Many people consider the current taxi prices exorbitant.
"I don't remember the last time I took a taxi in Zagreb. It is just too expensive. I mean, why can I afford to take a taxi in Prague or Warsaw, and not in my own hometown?" said Josip Jurjevic, an economist. "I am happy that there will be a competition now."
A Rijeka-based competitor, Taxi Cammeo, is waiting to enter the market and says its drivers are ready to pick up passengers as soon as the assembly gives the green light.
This content was commissioned for SETimes.com.
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