WA transport minister Dean Nalder has opened the door to a ride-share service setting up in Perth, in direct competition to traditional taxi operators.
Last month he met with Uber, the Google-backed company behind the ride-share service, and is receptive to changing regulations to ensure the service can operate legally.
“There are three broad concerns I have with the taxi industry at this point,” the minister says.
“I don’t believe consumers are getting the level of service they require from the taxi industry, I don’t believe drivers are sufficiently supported, and the organisations that make the biggest profits from the taxi industry are not sufficiently accountable.
“We would like to see the broader reform within the taxi industry and will work with the industry closely to improve the service standard to the community.
“Safety for passengers is of course our primary concern, so we need to look at what regulations will protect passengers, and support a more diverse taxi industry.”
His supportive comments are in direct contrast to the attitudes of eastern states governments, which have conducted sting operations and fined ride-share drivers.
Launching in Sydney in 2012 and since expanding into Melbourne and Brisbane, Uber is essentially an app that allows private motorists who are over 23 with a clean driver’s licence, to offer strangers a lift and charge them a fee.
Uber vets motorists and their cars for safety and offers a range of services, including an Uber Black limousine booking service. Passengers can rate their drivers’ performance on the app.
Traditional taxi services and taxi owners cry foul, saying they’re charged hundreds of thousands of dollars in registration and licence fees, which Uber and similar services escape.
“Ride-share would shake up the industry and I fear it would put a lot of us cabbies out of a job.”
Veteran cabbie Stephen Satchell says this year’s WA taxi conference was dominated by discussion about the apps and he fears ride-share sounds the death knell for traditional taxi drivers.
“Ride-share would shake up the industry and I fear it would put a lot of us cabbies out of a job.”
Swan Taxis boss Kevin Foley hopes to meet with Mr Nalder or his officials to stop the service taking off here.
WA transport department spokesperson Kate Phillips says the DOT is open to the idea of ride-share but notes it’s currently against the law to charge more than $7.40 for a 10km journey in a typical four-cylinder car and anyone wanting to charge more requires a special licence.
“A person driving for hire or reward or operating a vehicle for hire or reward without an appropriate licence is committing an offence,” she says.
“A vehicle operating for hire or reward must also carry the appropriate insurance.”
Uber raised $US258 million last year in funding from Google Ventures and TPG Investments.
The San Francisco-based company operates in 60 cities across the world.
Rival Backseat has delayed its launch into the Sydney market because of a NSW government ruling that ride-sharing apps require licensed vehicles and drivers.
by STEPHEN POLLOCK
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