Train stations will limit taxi options

The wild world of Prague's under-regulated taxis, one of the biggest black marks on the city's reputation with tourists, is getting pushback from an unlikely adversary: Czech Railways (České dráhy), the Czech Republic's largest railway service provider.

Czech Railways announced a tender Feb. 5 for a taxi service for passengers arriving at railway stations in Prague, Brno and Ostrava. According to the company, the winner of the tender will be offered a five-year contract for exclusive service at railway stations, with the opportunity to renew for another five years. The tender is similar to one undertaken in 2009 by Prague Ruzyně Airport, which awarded airport pickups exclusively to taxi companies Fix and AAA to combat shady taxi drivers ripping off airport passengers.

Ondřej Kubala, a spokesman for Czech Railways, said the company decided to hold the tender in part because of numerous complaints from passengers about the lack of regulation among taxis at railway stations.

"We have received complaints, especially in Prague, because there are many individual taxis competing for travelers, and their services are not under control," he said.

Companies applying for the tender are expected to provide clean, modern services at fair, competitive prices, Kubala said, adding that Czech Railways expects a "reasonable percentage" of profit from taxi fares from passengers coming from the stations.

"Taxi companies applying for the tender must meet the following criteria: a top-quality dispatch center, thoroughly inspected cars under 8 years old, a good record of behavior of drivers and competitive fares," he said.

Czech Railways will sell vouchers for the winning taxi company along with train tickets and plans to police station property will ensure that one taxi company has exclusive access to passengers arriving at train stations. But Kubala admitted it will be difficult to monitor the area surrounding the stations, saying, "We cannot control the use of public space around the stations."

Czech Railways' tender is only the latest attempt at imposing more regulations on taxi services in the Czech Republic. Legislation came into effect in 2009 forcing all taxis that use official taxi stands in Prague to be yellow, air-conditioned and no more than 8 years old - similar conditions to those required in the tender. In addition, the legislation states that cab drivers are expected to be well-dressed, speak some English and be pleasant to their passengers.

According to CzechTourism, a study by City Hall in 2009 showed only 1.5 percent of taxis engaged in illegal pricing practices, a significant improvement from 2002, when the number stood at 30 percent. But more sweeping - and more strictly enforced - regulatory laws are required if Prague taxis are to legitimately earn a better reputation,             "The legislation hasn't done any good," he said. "Czechs usually call legitimate taxi companies, and thus are driven for around 19 Kč [$1] per kilometer. But tourists who don't know better often catch unregulated cabs on the street, not at official taxi stands, and then get cheated."

According to last year's legislation, taxis in Prague that park at official taxi stands - advertised with yellow "Taxi Fair Place" signs - must display a license number and a fare calculator in plain view of passengers. The maximum fares for taxis in Prague are 28 Kč per kilometer - up from 25 Kč in 2008 - with a starting cost of 40 Kč. In addition, taxis may charge up to 6 Kč per minute for waiting.

The 5,000 taxi drivers in Prague have not taken to price regulation easily and call for maximum fares as high as 50 Kč per kilometer. Drivers complain that fares in Prague remain relatively low compared with other European capitals. In Berlin, for example, taxis charge the equivalent of 40 Kč per kilometer with an in initial fee of 65 Kč. Pavel Jelínek, chairman of the Trade Association Taxi Prague, has been particularly vocal against taxi regulation, saying it cuts profits for taxi drivers, making the job no longer worthwhile. Jelínek has organized several protests and appeals to City Hall demanding the right to charge higher fares, but, for now, the prices appear to be set.

The contentious issue of taxi service regulation is not limited to the Czech Republic. There have been several studies conducted throughout major European capitals in recent years as individual member states decide how best to regulate vast systems of relatively independent taxi companies. Last year, the city of Madrid hired Novadays, a Spanish research and consulting company, to monitor taxi services in European cities and recommend ways to regulate services.

José Ignacio Cases Comyn, director of Novadays, explained that regulation is difficult because the European Union has no real power to monitor and control taxi services throughout Europe. Thus, individual governments are left the difficult task of developing and enforcing laws on taxis in their cities.

The International Road Transport Union (IRU) has organized annual conferences over the past three years to address questions of safety and price regulation of Central European taxi services, calling for the introduction of European-wide legislation regulating the industry. But, according to Oleg Kamberski, head of IRU's permanent delegation to the EU, the Czech Republic has expressed little interest in joining the cause.

"Unfortunately, the Czech taxi industry is not represented within the IRU," he said.

Stephan Delbos can be reached at
sdelbos@praguepost.com