LARGE OPERATORS ALLEGEDLY CUTTING A DEAL WITH TSC. The VTF has been provided this information on the grapevine. We need the TSC to contact one of our representatives to confirm the accuracy. The VTF has been advised that large operators are allegedly working with the TSC to secure the new taxi leases. They will be released in their hundreds by Christmas or early next year. Driver incomes will drop through competition. This during a time where occupancy is at a dismal 28%. How can more licenses to be justified? On each occasion where the VTF has voiced their concerns to the TSC about the release of taxi licenses, the TSC has commented that they will only release the new government leases as per demand. We have word this morning that the TSC will now be releasing these licenses to the large operators. They are justifying this through the claim that current license holders are not bringing down the lease prices to the $22,000 to $24,000 per annum lease price. We have been advised (and need this confirmed) that large operators have complained to the TSC that lease prices are not being dropped in line with the government lease price. The TSC has decided on their own accord to listen to these large operators and will release new taxi licenses to these operators. This could have been avoided if the TSC and government had created a better system of managing the leases. The government should have capped the lease price of current perpetual licenses so that license holders would not be allowed to charge anything above $22, 000 to $24, 0000; a simple and transparent system. What do we expect from a department that spent millions on MYKI when they could have purchased a similar system from other countries at a fraction of the price. We are being forced to pay for this MYKI debacle? The department of transport decision making and revenue raising is nothing new. The government and TSC have made this error in judgement and now the entire industry is about to suffer the dire consequences. The government will have a great income stream (with minimal or no capital outlay). They have legislated incorrectly and we, the hard working industry will suffer the consequences. Why did the government and TSC not cap the lease prices, as recommended by many industry participants like myself. I, along with many others, put through this recommendation to the Taxi Industry Inquiry and then later to the department of Transport. They conveniently ignored this advise. They did what was in their best interest. They created a system, that is not transparent so that they can manipulate the situation to justify release of new government owned licenses. Brokers should be advising people entering into leases that these need to be capped at the $22, 000 to $24, 000 mark. Are brokers doing this? If not, why not? If so, why not mandate that this needs to be the ceiling price of a lease. It is unfair that the entire industry could possible be flooded with new taxi licenses and PBOs because the government is not legislating correctly and the TSC is not managing their responsibilities correctly. Many owners lease their licenses to these large operators. I am sure they would bring down the price of their lease if advised correctly. They would obviously have been mandated to do this (in the best interests of the industry) if it had been legislated that leases be capped. The incompetency of the government has lead to this. Now what will these owners do with their licenses if the large operators will be taking up leases from the government. I guess Terry Mulder, will once again just say too bad, if the average hard working family loses their home. We have seen his level of compassion documented in black and white. Are governments instated to destroy families? If these allegations are correct that it can be said that large operators only care about getting rid of the small hard working families that own these licenses. Once these license holders, can no longer lease out their plates, the large operators will buy up the perpetual licenses cheap. The government has created a system that will see the large operators win and the small hard working families, that own one or two licenses lose. It is a disgraceful situation. We will not stand for this. The TSC has a moral obligation to prevent this from happening. If the large operators are complaining that license holders are not bringing down their leases then they need to send out urgent memorandum to brokers and license holders. License holders need to be advised that in order to avoid any release of new licenses any new leases entered into must be brought down in line with the government lease prices. All this extra work could have been avoided if the government had simply placed a ceiling on lease prices. But I guess this would not have suited their agenda. Why cant the government create an online database, where people wanting to lease out their licenses have to register. Then the large operators can organise a lease through the database. But what seems to be happening is that the large operators do not want to lease out current perpetual licenses. It is a strategic move. They will use the obscurity in the current leasing system to verify their claim that lease prices are not falling and release hundreds of licenses to the large operators. This will leave all those families that lease to these big operators without income and with a worthless asset. As soon as the license prices hit rock bottom the large operators will buy them up. Professor Allan Fels said that there were many problems in the industry and implied that many of them stemmed from large operators and claimed that he wanted to move towards an owner driver model. If the TSC releases hundreds of government licenses to large operators, how is this encouraging a move towards a owner driver model? It simply rewards and empowers those players that have caused the decline in service standards. I am horrified to say the least. The TSC has a moral and ethical obligation to ensure the viability of industry; with more and more taxi licenses and PBOs on the road drivers simply wont be able to make a sustainable living. The one or two license holders, that have worked tirelessly all their lives to serve the industry will be sent to ruins. Their superannuation will be shot to pieces. They will be left without anything in their retirement. How can our government do this. Consecutive state government policies promised the taxi license to act as a superannuation base for owner drivers. The current state of events, sees the government ripping away the superannuation of these owner drivers. And sees the large operators and governments working together to dominate the industry. We, need to stand up now or otherwise we are doomed. This is what our tax dollars are going towards; ruthless governments and bureaucrats plotting our destruction. They should do their jobs; represent and protect their constituents. They are instead putting us against the wall so that they can raise revenue and privilege those that have caused the decline of industry standards. So, what does the government and TSC have to say about this? If you want to play these games then simply buy back the licenses. Currently it is an allegation. TSC, is there any truth in this?
Posted on: Fri, 08 Nov 2013 02:36:51 +0000
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