The fare increase came into effect on Wednesday after the Ministry of Transport’s announcement for taxis carrying not more than seven passengers with registration licences from outside Bangkok was published in the Royal Gazette.

The taxi fare hike came as a result of a resolution by the committee charged with setting fares for public transport, which approved the increase in December for taxis in 32 provinces, not including Bangkok, Chiang Mai, Phuket, Khon Kaen or Koh Samui. The committee said fares in the provinces had been fixed since 1994, which contributed to their decision.

The atmosphere at the bus terminal in Phitsanulok on the first day that the fare hike became effective was livelier than usual, with a larger number of taxis waiting for clients.

“My peers and I were really delighted when I learnt about the increase of the [starting] fare from Bt35 to Bt40. That means we will gain more income. It may not be a big amount but it’s enough for living. I decided to buy a new cab with a down payment of Bt200,000 plus Bt20,000 for 48 instalments,” said 55-year-old taxi driver Kamron Nunchan.

“I earn Bt800 to Bt1,000 each day. That’s enough to sustain my family. For those who drive rented taxis, they earn only around Bt300 as they have to pay Bt1,000 for daily rental. However, we’ve never competed for clients as everyone wait in a queue to pick up passengers.”