Tasmanian Government Introduces Bill To Legalise Uber

Monday 14 March 2016 @ 12.02 p.m. | Legal Research

The Tasmanian Minister for Infrastructure has introduced into Parliament a bill for the legalisation of Uber and other ridesourcing businesses.  The Taxi and Hire Vehicle Industries Amendment Bill 2016 amends the Taxi and Hire Vehicle Industries Act 2008 to allow people, vehicles and services to be exempt from requirements of accreditation under section 10 of the Act.  It will also allow the Government to make an order suspending the release of additional taxi licences for the next two years.

Tasmanian Premier Will Hodgman announced his Government’s plan to support Uber last year.  He told The Mercury:

“As a Government, we are open to new ideas and open to change; to manage the challenges it presents but seize the opportunities too…

The sharing economy offers greater competition, more choice, efficiency and lower transaction costs for consumers. It is the Government’s role to provide a regulatory framework that is fair and that provides necessary protections. But it is not our role to try to ban progress.”

Introducing the Bill into Parliament, Minister for Infrastructure Mr Hidding said:

“The emerging sharing economy presents exciting opportunities that this Government wants Tasmania - as a State, as an economy and as a community - to embrace.

We have made it clear that we consider trying to regulate new business models like ridesourcing out of existence would not only futile, but would potentially see us pass up the significant economic benefits that can be unlocked when we actively support and encourage innovative business models.

Of course, we appreciate the challenges that new, disruptive technologies and business models present for existing market participants.

This is why we will continue to closely consult with the taxi and luxury hire car industries to look at opportunities to address cost and regulatory pressures on these industries both in the short and longer-term. It is also why we have listened to industry and included a provision to allow for a limitation on the release of new taxi licences, where a significant ride-sourcing presence emerges.”

In his second reading speech, he also noted that the legislation was the “first step” of a broader effort to modernise the taxi system in Tasmania, highlighting the Government’s plans to undertake a wholesale review of the industry within two years.

Uber in Other Jurisdictions

The debate about whether or not to legalise Uber and other ridesharing services continues to cause controversy across Australia.

Currently, the only two jurisdictions that have formally enacted legislation to legalise and/or regulate Uber are the ACT and NSW.

The Australian Capital Territory enacted the Road Transport (Public Passenger Services) (Taxi Industry Innovation) Amendment Act 2015 in November last year, which is scheduled to commence in May 2016.  The New South Wales Government legalised Uber last year by regulation, with the Passenger Transport Amendment (Taxis and Hire Cars) Regulation 2015 commencing on 18 December 2015.

The Western Australian Government has officially announced plans to formally regulate Uber by 1 July this year (2016).  The Northern Territory Government, on the other hand, has announced it has no plans to introduce legislation regulating or legalising Uber.

Politicians from outside the major parties have also been trying to influence the ridesharing services debate, with Victorian Sex Party member Fiona Patten introducing a pro-legalisation Regulation of Ridesharing Bill 2016, while in Queensland, Katter’s Australian Party has introduced the Transport Legislation (Taxi Services) Amendment Bill 2015, which would see Uber drivers receiving demerit points.

TimeBase is an independent, privately owned Australian legal publisher specialising in the online delivery of accurate, comprehensive and innovative legislation research tools including LawOne and unique Point-in-Time Products.

Sources:

Taxi and Hire Vehicle Industries Amendment Bill 2016, Explanatory Memorandum and Second Reading Speech - available from TimeBase's LawOne service

Uber to get Tassie green light (Blair Richards, The Mercury, 07/03/2016)

Tasmania Premier wants to embrace sharing-economy ventures Uber, Airbnb (ABC News, 30 October 2015)

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