Economy minister Hiroko Ota on Friday slammed the proposed fare hike by Tokyo taxi operators, saying the measure may not increase drivers' wages as they claim, due to inefficiency in the industry.

"In raising public service costs, accountability to consumers should be the priority. We need to consider whether the taxi industry has truly made efforts" to promote efficiency, Ota said.

Tokyo taxi operators have demanded an average 18.7 percent increase in taxi fares starting this summer, citing higher fuel prices and the need to improve their working conditions.