Iqaluit (Jun 05/06) - Citing the rising cost of living, some Iqaluit taxi cab companies are calling for fares to increase from $5 to $6 per trip.

Craig Dunphy, general manager of Pai-Pa Taxi, Iqaluit's largest cab firm, has written to city council requesting the rate hike.

A five dollar bill and a loonie will add up to the $6 fare that Craig Dunphy, general manager of Pai-Pa Taxi in Iqaluit, hopes to see as the new rate for cab rides in the city. It's currently $5 to get anywhere in town by taxi. Municipal council is expected to address the issue at its June 13 meeting. - Derek Neary/NNSL photo

He has support from Gisappe De Fabritiis, who runs Nunavut Taxi.

"We need it right now," said De Fabritiis. "The town gets bigger and bigger. With five bucks we don't go far."

The cab companies are pointing to higher prices for gasoline, insurance, mechanical repairs, power, property tax and housing since the last increase in cab rates - an additional 50 cents in 2004.

"We are the only industry that has to beg for a raise," Dunphy contended, noting that airlines and retailers can set their own prices.

"Some guys get on the road at seven o'clock in the morning and drive to five o'clock at night, and they're lucky if they make 70 bucks. You can't live on that."

He said he'd prefer if taxi companies could get out from under city council's regulation of fares.

Deputy mayor Glenn Williams said there's a good reason why council oversees charges for cab rides: because the stronger firms could squeeze out weaker competition by temporarily lowering prices.

"One of the big complaints from the smaller operators is that they don't want to be overrun by the larger companies," the deputy mayor explained.

Asked for his opinion on the proposed $1 fare hike, Williams replied, "To tell you the truth I really haven't turned my mind to it yet. I'll have to look into it and do a little bit of research. We'll have something probably for the next council meeting."

Ninety-eight taxi licences had been issued for 2006 as of last week, according to bylaw officer Robert Kavanaugh. Close to half of those belong to Pai-Pa.

A cab strike that lasted about a week ensued following a fare dispute in 2001. Dunphy hasn't dismissed the option of job action again, but isn't making overt threats either.

"The politically correct answer would be that we rule nothing out," he said.

As of June 1, the issue wasn't on the city council agenda for June 13, but the deadline for additions is June 7.