Authorities in east China's Zhejiang Province on Friday ordered its cities and counties with underpriced taxi services to hike fares after cab drivers went on strike earlier this month.
The provincial price bureau said in a statement on Friday that fares should be increased in cities and counties where taxi fares are relatively low.
Nearly 2,000 disgruntled taxi drivers in several cities of Zhejiang, including the provincial capital Hangzhou, took to the streets in early August, complaining about skyrocketing food, gasoline and house prices, but unchanged taxi rates.
The protests ended after drivers received temporary subsidies and promises by local governments to lift fares.
According to the Friday statement, local governments should adjust taxi fares in accordance with gasoline price changes.
The bureau also suggested that local governments cut business costs for taxi drivers and provide them subsidies.
Hangzhou will hold a public hearing on September 9, during which 24 people, including government officials, scholars, taxi drivers and 10 members of the general public, will be asked to offer feedback on proposals to hike taxi fares.
