The Future Licensing Review (the Review) is analysing the taxi licensing framework to ensure it is supporting the taxi industry’s ability to compete effectively within the personalised transport industry. This was a recommendation made in the

Queensland’s Personalised Transport Horizon Stage Three: Monitoring and Evaluation Report (the Stage Three Report) published in April 2022.

The Review has been conducted in stages and focused on analysing the taxi regulatory framework, identifying the key issues, and where required, developing options to make improvements in the areas of licensing, market restrictions, and accessibility. This includes considering the circumstances of where the release of further taxi service licences might be required.

To date, TMR has considered the views and issues of the taxi industry representatives, as well as wider feedback and submissions received to inform its policy analysis for the Review. TMR has also engaged with other Australian jurisdictions to understand learnings from their reforms.

Taxi industry consultation on the proposed options will help inform a final recommendation for government consideration.

The review considers improvements to the taxi licensing framework in the areas of taxi licence supply caps, taxi service areas and peak demand and substitute vehicles. Changes to the regulation of services provided in limousine and ride-booking services are not included in the review.

No new taxi licences have been issued since 2014, and taxi operators need certainty about their future operating environment.

There are also existing issues about wheelchair accessible taxi (WAT) service levels which include concerns from the taxi industry about the taxi licence supply cap and its impact on their delivery of service.

The Review is exploring if the release of further taxi service licences is required, how taxi licences should be administered, and options to support an increased supply of WATs.

TMR is considering options across the key areas of licence supply caps, service operating areas and flexible fleet management.

Several options have been identified for stakeholder consideration which range from preserving current arrangements, making modest changes to the way taxi licences are issued and their requirements to operate, through to removing constraints on licence supply and issuing licences on demand.

• Option A – fully operationalise the current framework: cap supply of WAT and conventional licences in each taxi service area (TSA), TMR determines appropriate number of licences periodically and develops an approach for this based on key metrics of supply and demand, new licences issued by public tender and limited to a 5-year max. duration, and make peak demand management arrangements permanent.
  
  
• Option B1 – modest changes: max. duration of new taxi licences increased to 10 years and still issued by public tender, TMR determines appropriate number of licences periodically and develops an approach for this based on key metrics of supply and demand, merge some TSAs in south-east, central and northern Queensland and develop an approach for this based on key metrics, and replace current peak demand arrangements with a new peak demand licence.
  
  
• Option B2 - issue new licences at a set price: same approach as option B1 except TMR issues new licences at a set price rather than via a public tender (for example, $10-15K p.a.), TMR develops an approach for this based on key metrics, and funds from sale of new licences used to support licence owners of cancelled surplus licences.
  
  
• Option C – more significant changes: issue WAT licences on demand for an administrative fee, maintain cap on the supply of conventional taxi licences, with new licences limited to a 10 year max. duration and issued by public tender, TMR determines appropriate number of conventional licences periodically and develops an approach for this based on key metrics of supply and demand, merge some TSAs in south-east, central and northern Qld, and remove peak demand arrangements, with WAT licences and BHSLs available on demand instead.
  
  
• Option D – remove constraints on supply: this will see removal of restrictions on the supply of taxi licences with licences for conventional and wheelchair accessible taxis being issued on demand for a set application fee; the removal of operating area restrictions and all TSAs being abolished; and the removal of substitute taxis and peak demand arrangements.

No new taxi service licences have been issued since before the reforms. This was initially to help the taxi industry adjust to the new industry framework. Subsequently, impacts of the Covid-19 pandemic, resulted in many taxi operators and licence holders taking their vehicles off the road. In April 2024, around 190 taxi service licences across Queensland did not have a taxi in operation. Fifty-one of these were WATs.

TMR is concerned about the number of taxi licences without a vehicle attached at a time when the taxi industry is requesting the release of new taxi service licences. TMR is encouraging taxi licence holders to return these taxis to the road.

The Review is also considering whether new taxi service licences are needed and in which areas, including options to support an increased supply of WATs.

Following a Ministerial roundtable in February 2023, TMR's Accessibility Taxi Service Working Group was formed to bring together taxi operators and disability organisations to deliver a range of actions to address service level issues for passengers with disability. Some important actions have already been delivered, including an increase to the lift fee for Christmas Day in 2023.

The proposed options from the Review will likely not by itself solve issues relating to WATs, although an important consideration is to ensure that it supports an increased supply of WATs. Implementation of any options being considered by the Review will need to occur in conjunction with interventions to uplift service delivery for passengers with disability. This will be considered further during implementation planning.

The Stage Three Report recommended TMR consider the expansion of the Taxi Subsidy Scheme (TSS) to include the provision of services by personalised transport operators other than taxis.

Currently, TSS members are eligible to receive the TSS subsidy only when travelling in a taxi.

TMR is investigating equitable service options for TSS members, by exploring the policy and operational considerations of expanding the TSS into other forms of transport. This work will be progressed separately to the Review.

The Review is not looking to require ride booking services to have accessible fleets. However, TMR is exploring this issue at the national level.

Reforms to the Australian Government’s Disability Standards for Accessible Public Transport 2002 (Transport Standards) are in progress to improve accessibility of services and remove discrimination against people with disability. As part of the reforms, it was recognised that further work is required to determine if and how ride booking services should be covered by the Standards. To conduct this further work, a working group which includes state and territory governments, people with disability, and industry representatives will be established.

The personalised transport industry plays an important role in connecting Queenslanders.

The Queensland Government introduced a comprehensive framework for personalised transport in Queensland to provide greater choice for customers, while strengthening safety standards and ensuring accessibility.

Important considerations in assessing the Review's preferred option, is helping ensure customer needs are met where appropriate, and services remain viable by reducing operator costs and removing barriers to new market entrants.

TMR does not regulate employment conditions within the personalised transport industry. Driver employment conditions and agreements are a workplace relations matter between the driver and the booking company or operator.

Taxi drivers will continue to have the exclusive right to provide rank and hail services.

While maximum fares will continue to apply to all rank and hail and all booked trips provided to TSS members and passengers using a wheelchair, these will be reviewed annually through a structured process to ensure maximum fares are increased in line with taxi industry costs.

WAT operators also continue to have exclusive access to the WAT Grant Scheme, which contributes up to half the cost of $55,000 towards the cost of purchasing a new WAT.

An important consideration in assessing the future licensing framework, is ensuring flexible fleet management to meet periods of increased passenger demand. The Review aims to improve peak demand management through consideration of options for a permanent solution.

The safety of services remains a priority for TMR. The Review is not looking to make any changes which diminish existing safety regulation.

Requirements for all drivers and booking entities to be authorised, and for vehicles to be licensed will remain. Vehicles will continue to need to hold a certificate of inspection, with a new certificate required every year once the vehicle is more than 12 months. Taxi drivers will still be required to hold a valid Driver Authorisation (DA). Traffic and criminal history checks will continue to be made on applicants for DA and DA holders will still be subject to daily monitoring through the Queensland Police Service.

The Review is examining options relating to taxi service areas (TSA). These range from preserving current arrangements, merging existing TSAs, or removing all TSAs.

The ability for TMR to prohibit ride-booking services from operating in certain geographical areas, if necessary to achieve greater levels of service will remain. However, Queensland Government is not currently considering any action in this space.

Yes. Options being considered under the Review do not include opening the rank and hail market to ride-booking services.

Yes. Maximum fares will continue to apply to all rank and hail trips and booked hire trips provided in a taxi to TSS members and passengers using a wheelchair.

Maximum fares serve an important role in protecting vulnerable customers. Maximum fares will be reviewed annually through a structured process to ensure they are increased in line with taxi industry costs.

Consultation with taxi industry stakeholders will commence from August 2024 to help shape a preferred approach for the Review.

TMR invites taxi industry representatives, such as Queensland booking entity authorities, taxi licence holders, operators and drivers, to have their say on the Review via the TMR website.

TMR will also be holding sessions with key industry representatives and advocacy groups as part of this targeted consultation such as:

• Taxi Council Queensland (TCQ)
• Queensland Taxi Licence Owners Association (QTLOA)
• Taxi Licence Owners of Qld Steering Committee
• Queensland Taxi Booking Entity Authorities.

Finalisation of a preferred option is dependent on the consultation process and will then require government approval.

TMR aims to communicate an update and outline next steps from the Review from September 2024.

All the future licensing framework options involve legislative changes. These are likely to take 12 to 18 months depending on the complexity of the final changes.

For more information about the Future Licensing Review visit the TMR website at www.tmr.qld.gov.au, or to have your say during the consultation period.