The regulation of taxi and hire car services is hotting up in this country with NSW government response to unregulated UberX services:
"The law is clear and has not changed: if a NSW driver is taking paying members of the public as passengers, the driver and the vehicle must operate in accordance with the Passenger Transport Act,'' Transport for NSW said in a statement on Wednesday morning."
''Under the act, such services must be provided in a licensed taxi or hire car, by an appropriately accredited driver, authorised by Roads and Maritime Services.''
Those who operated a public passenger service in breach of the Passenger Transport Act faced prosecution and fines of up to $110,000, it said.
"Transport for NSW has ruled out smartphone apps that allow motorists who are not taxi or hire-car drivers to receive money for offering lifts.
In response to a new low cost ''ride-sharing'' service offered by Uber, which allows non-taxi drivers to offer a taxi-like service, the state's transport department said on Wednesday all drivers needed to be accredited under the Passenger Transport Act.
This would rule out Uber's ride-sharing service as it currently operates, though not apps that make it easier for taxi customers to book an authorised cab or hire car."
At this stage of the game, Uber have kicked an own goal whilst attempting to field unregistered players!
But I will give Uber credit in their attempts to disrupt worldwide taxi industries, then seeking to have the rules rewritten in their favour in various jurisdictions.
Unfortunately, their business model only stacks up by removal of the regulatory cost burden. To allow them to play that game, governments around the world would need to deregulate and compensate existing taxi and hire car licence holders. A very costly exercise.
In all the while removing themselves from any responsibility if anything goes wrong between their drivers and passengers.
CAB Price at posting:
$3.87 Sentiment: Hold Disclosure: Held
