Grab, Gojek, Tada, and ComfortDelGro’s CDG Zig extend fuel surcharges through Sept 30 amid rising fuel prices

SINGAPORE: Ride-hailing passengers in Singapore will continue to pay temporary fuel surcharges until Sept 30, with Grab, Gojek, Tada, and ComfortDelGro’s CDG Zig extending the measures as petrol prices stay high.

The extension will also ensure ride-hailing drivers continue to receive extra support to help offset higher fuel costs linked to the sharp rise in pump prices since the fighting involving Iran began in late February.

The National Private Hire Vehicles Association said the decision followed its discussions with the four platforms, Channel NewsAsia (CNA) reports (July 23).

Higher petrol prices keep temporary fees in place

Petrol prices in Singapore have climbed well above levels seen before the Middle East conflict.

According to Motorist Singapore, 95-octane petrol cost between S$3.36 and S$3.37 per litre on Thursday. Before the conflict began on Feb 23, the same fuel sold for about S$2.87-S$2.88 per litre.

The association said the platforms agreed to continue their driver fee and fuel support measures while fuel prices stay elevated. It also said the extra fees collected from passengers go directly to drivers. The platforms don’t take commission from these temporary surcharges.

What commuters will continue paying

Grab will keep its S$0.90 fuel surcharge on all transport bookings except Standard and metered taxi rides. The company first introduced the surcharge on April 7 before extending it through July 31.

Gojek will continue charging a temporary S$0.90 driver fee on trips of all distances. The company introduced the measure in April to help drivers manage higher operating costs.

Tada riders/passengers will continue paying a S$0.90 fuel support charge for trips costing up to S$18, and S$1.20 for trips costing S$18.10 or more. The platform renamed its temporary driver fee as fuel support when it launched the measure in April.

ComfortDelGro’s CDG Zig will keep its temporary driver fee of S$0.50 for fares below S$15, and S$0.80 for fares of S$15 and above booked through its app. The company said when it introduced the fee in March that it was meant to ease financial pressure on drivers.

Fuel costs still shape ride fares

The extension shows how global events can continue affecting everyday transport costs in Singapore months after they begin.

Oil prices rose more than 1.5 per cent on Thursday to their highest level in over six weeks after fresh United States strikes on Iran and attacks by Yemen’s Houthis on oil tankers in the Red Sea added to supply concerns.

The private hire association said it will continue engaging with ride-hailing operators to push for practical support for drivers while fuel prices remain high.

Though temporary surcharges aren’t always popular with commuters, they are still easier to accept when platforms are transparent about where the money goes. Keeping the fees under review and removing them once fuel prices ease would help maintain trust on both sides.