The Hon Jacinta Allan - Premier of Victoria - Home

Victoria Leads The Way With Safer, Simpler, More Flexible Trips

23 August 2016

The Andrews Labor Government is leading the nation by establishing a single commercial passenger industry that will create 3,500 jobs, give Victorians greater transport choices and better security for drivers.

Over the next two years, the current licencing regime will be replaced by a single registration system that will ensure high standards for all commercial passenger vehicles, including taxis, hire cars and ride share services.

The reforms to the commercial passenger industry will see:

  • $378 million made available to provide fair and reasonable assistance to licence holders to help them transition to the new legislative framework.
  • A $75 million Fairness Fund to provide targeted support to industry participants experiencing immediate financial hardship as a result of these changes, including $25 million to improve access to convenient, reliable point-to-point transport for people with a disability.
  • All commercial passenger vehicle providers charged a levy equivalent to $2 per trip to fund the transition to the new system including support for existing licence holders during the transition.
  • All existing licences removed to allow for more flexible fares to drive competition and reduce the cost of travel for passengers.
  • All drivers accredited by the Taxi Services Commission which will include passing police, medical and driving history checks and all drivers will be subject to ongoing criminal data matching.
  • An Australian first of a dedicated Commissioner for disability services to the Taxi Services Commission.
  • Rank and hail work only open to those providers that meet stringent requirements including cameras and fare meters.
  • The ineffective, inefficient and costly Knowledge Test abolished and replaced by a simple system of industry accountability for all drivers.

The Government will work with Victoria Police to ensure the continued safety of all passengers.

The Government will draft legislation to be introduced into Parliament this year which will reduce the hire car licencing fee to zero. A second piece of legislation will be introduced into Parliament next year which will enable the long term reform.

These changes will open the door for more ridesharing and taxi services to hit the road and drive innovation, to provide more choice and better services for passengers.

The Government will continue to consult closely with industry participants on the details of industry transition, accreditation and safety requirements, and the implementation of the levy.

Quotes attributable to Premier of Victoria Daniel Andrews

“This is a comprehensive and fair transformation of taxi and hire car services, which responds to new technology that is changing the way people travel.”

“We’re levelling the playing field for the whole industry while ensuring consumers have safe and reliable access to transport services.”

Quotes attributable to Minister for Public Transport Jacinta Allan

“We’re changing the way Victorians travel by giving them more choice, shorter wait times and safer travel.”

“For Victorians that have a disability Taxis are often their only means of transport which is why we’re ensuring with these reforms that they will have more choice and funding support than ever before.”

Reviewed 19 August 2020

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