(MENAFN- The Peninsula) The monopoly seemingly being imposed by the state-backed Mowasalat in the transport sector has deterred the development of an efficient and competitive taxi service in the country, feel several citizens.
Mowasalat, which runs the Karwa taxis, recently allowed four private companies to operate taxis on a franchise basis, but they have been given little freedom to compete in terms of prices and services, they argue.
The number of taxis operated by all these companies is much less compared to what is required. This has resulted in a severe shortage, often forcing passengers to wait for a taxi for hours under the scorching sun or biting cold.
According to Dr Mohammed Ali Al Kubaisi, a professor at Qatar University, it is surprising to see Karwa monopolising public transport in a country which has an "Islamic free market".
In remarks to local Arabic daily Al Rayah in a recent article, he said a monopoly should meet three basic conditions - ability to cover all areas and provide required services fully; quality of the services should be on a par with those in other countries; and prices should be fair and similar to those in other countries.
During the first half of 2013, a local company licensed by the Ministry of Commerce and Economy started transporting workers from Industrial Area to Doha city in a special bus. Law enforcing authorities called the company's manager and told him that this activity was banned by Karwa. They forced him to sign an undertaking not to continue the service, said Al Kubaisi.
He said Mowasalat officials had earlier insisted that Qatar needed only 2,200 taxis. This was based on a study long before the population crossed two million.
Later, under public pressure and due to severe shortage of taxis, the company licensed three more private companies to operate taxis.
"This licence has to be given by the Ministry of Economy and Commerce, not by Karwa and the companies should be allowed to compete with Karwa instead of working under its umbrella," Al Kubaisi said, indicating that they had been forced to follow the tariffs set by Karwa.
He alleged that Karwa innovated a new way of reducing expenditure by giving taxis to expatriate drivers on daily rentals of QR265, regardless of whether they would be able to earn this amount. To support them, the company raised the taxi flag fall from QR4 to QR10 without the ministry's consent.
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