Liikenne- ja viestintäministeriön asetus taksitaksasta
Purpose
The decree sets maximum taxi fares (base fare, per-km fare, waiting charges and surcharges) and taximeter usage rules.
Analysis
Taxi fare regulation was effectively abolished by the Transport Services Act (320/2017) effective 1.7.2018, which deregulated taxi pricing. This decree is either dead letter or conflicts with current law. Maximum fare regulation prevents price competition in both directions: cheaper operators cannot differentiate and premium services cannot emerge. Fixed fare classes (I–IV by passenger count), advance booking surcharge bans for certain trips, and detailed taximeter rules block new business models (dynamic pricing, app-based dispatch). Cost: compliance monitoring, meter sealing and fare inspections estimated at 0.5–1 M€/year; deadweight loss from competition restriction estimated at several million euros annually.
Verdict reasoning
Taxi fare regulation was effectively abolished by the Transport Services Act (320/2017) effective 1.7.2018, which deregulated taxi pricing. This decree is either dead letter or conflicts with current law. Maximum fare regulation prevents price competition in both directions: cheaper operators cannot differentiate and premium services cannot emerge. Fixed fare classes (I–IV by passenger count), advance booking surcharge bans for certain trips, and detailed taximeter rules block new business models (dynamic pricing, app-based dispatch). Cost: compliance monitoring, meter sealing and fare inspections estimated at 0.5–1 M€/year; deadweight loss from competition restriction estimated at several million euros annually.
Other transport laws
Analysis by Claude Opus 4.6 AI. Estimates are indicative.