A Dublin-Rathdown TD has said when all charges are added up, a 12% taxi fare increase is actually 32%.
Fine Gael's Neale Richmond was speaking as fares rise by 12% from Thursday.
The National Transport Authority (NTA) has said this is to "reflect the increase in operating costs faced by taxi drivers".
The changes also mean customers must have the option of paying by card.
Deputy Richmond told Newstalk Breakfast taxi drivers should be supported, but there are more options.
"I think the fact that the NTA has simply reached for 12% fare increase so unilaterally, and lumped it all on the shoulders of the people trying the taxi, I think is grossly unimaginative.
"I think there's far more imaginative things that could, and should, have been done first."
He said this could have included a reduction in the taxi licence fee, or reducing the fee to renew licences - as well as removing some 'bureaucracy' around the age and ability of cars.
"I think all these things should have been prioritised".
And he said extra charges, such as Free Now's €1 technology fee - introduced since August 1st - will bring the price up further.
"We see the main taxi app in Ireland at the moment has added a €1 technology fare.
"So a €10 fare in Dublin city isn't just going up by 12%, that would have gone up €3.20 - so it's a 32% increase when you look at it".
Jim Waldron is spokesperson for the National Private Hire & Taxi Association.
"The 32% - the app companies get that, not the taxi driver gets it," he explained.
But he said they have already been operating at a loss.
"Obviously we need the 12%, all our costs are going up. 12% is probably the minimum we possible could have got.
"We were due 5% three years ago almost now, and that was cancelled by the NTA because COVID came along.
"We actually worked at a 5% loss for the previous three years, and the 12% doesn't bring us up even near to the cost of living and running costs.
"Included now of course is the cashless payments, the expense that the taxi driver has to take on with that as well.
"So 12% is actually not enough".