The Taxi Council of Queensland (TCQ) has labelled the new CTP Class 26 that comes into effect this week as too little, too late, and typical of a befuddled approach to setting rules in the new personalised transport sector created by the State Government.
TCQ chief executive officer Blair Davies said that the new CTP Class 26, which will cover most booked hire vehicles including Uber, is around one eighth of the cost of the equivalent CTP coverage for taxis, yet the two types of vehicles can be operating with almost the identical risk profiles.
“Both taxis and booked hire vehicles serve the same customers, have the same drivers, and they provide trips at the same times, to the same destination.
“The Australian Tax Office recently ruled that booked hire vehicles were effectively providing taxi travel for GST purposes, and the Queensland Government should consider them likewise.
He said that while the new Class 26 premium for booked hire is currently $578.70, taxis pay a whopping $4404.40.
From January 15, 2018, all booked hire vehicles must hold a current booked hire service licence, which includes proof of the new Class 26 CTP. Applications for the new licence is open online from this coming Sunday.
But Mr Davies says the Government must act now to fix the inequitable cost burden on taxis and bring common sense back to the personalised transport sector.
“The Government has created the uneven playing field and I don’t believe any reasonable person would think that making taxis pay almost eight times the rate for CTP, than that paid by our competitors, resembles fairness on anyone’s estimation. It just doesn’t pass the Pub Test.”