Roadside rescue excessive charges result from lack of competition

THE DRIVER OF A TRUCK that rolled over on an expressway in Central China's Hunan province was charged about 36,000 yuan ($5,600) by a roadside rescue company without being informed in advance how much it would cost to lift the truck. Xinhua News Agency commented on Saturday:

The longevity of overcharging by roadside rescue companies is the result of the lack of competition. Some roadside service providers are in a close relationship with local transportation officials and they have basically monopolized the market, which allows them in effect to extort money from drivers in need of their help.

In many cases, it is often the local authorities that assign the companies to deal with roadside accidents.