DRIVE A2B March 2019

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NEW VICTORIA SOUTH WALES NEWS NEWS CPVAA NEWS UPDATE Your voice at state government meetings, forums and inquiries ASSOCIATION NEWS Last month the Commercial Passenger Vehicle Association of Australia (CPVAA) entered two submissions to public inquiries relevant to the industry, making sure that the views and needs of our members are represented. First up was the Essential Services Commission's (ESC) review of taxi non-cash payment surcharge pricing. Currently drivers can add a maximum 5 percent surcharge to all non-cash trips to cover the costs of accepting and processing these payments. In our submission we warned the ESC that consumers would likely pick up the bill if noncash payment surcharges are dropped and if they chose to reduce the maximum cost of non-cash payment surcharges it would adversely affect the bottom line of the smaller players in the industry. The ESC has the power to set maximum non-cash payment surcharges for the taxi industry. In 2014 legislation was passed reducing the surcharge on non-cash transactions from 10 percent to 5 percent, and the current review's aim is to determine if this is a fair value. In our submission we also noted that: • Despite the ESC striving to speak with all stakeholders the CPVAA, as one of the largest registered representative bodies in the industry, was not called upon for its opinion; Since our submission we have been asked to come in and chat with them. • The current surcharge of a maximum 5 percent represents a fair value of the costs of accepting and processing non-cash payments; • Providers of this technology often have significant additional costs when compared André Baruch President, CPVAA to providers of similar technologies in other areas; • The ESC should keep their review simple and use a benchmarking methodology to calculate fair costs. We also made a submission to the Inquiry into the Victorian On-Demand Workforce, often referred to as the gig-economy. The gig and on-demand economy has rattled no other industry quite like the passenger transport sector. The likes of Uber have unscrupulously entered the industry cashed up and aggressive in their campaign to attract both drivers and riders alike. Our submission explored both positive and negative consequences across the 16 DRIVE A2B magazine · March 2019
Maurice Blackburn has announced an extension for registrations for the Class Action against Uber. transport industry as a result of the emergence of ride share and the on-demand workforce Our recommendations included: • independent oversight of the dynamic pricing models used to determine surge pricing and off-peak rates for rideshare operators to ensure that it can't be manipulated by drivers or the booking services; • that vehicle roadworthiness and safety should be mandated and enforced by the regulator to ensure that passenger and driver safety are not compromised by private commercial and economic considerations. It should be a condition of the commercial passenger vehicle annual permit that an RWC be presented on both application and renewal; • a valid Insurance Certificate of Currency for commercial use be presented to the regulator on application and renewal of an annual Commercial Passenger Vehicle permit; • curtailing the influx of Commercial Passenger Vehicles into the market through a considered rise in the cost of the CPV annual permit rather than by applying a market cap on vehicles, which would be difficult to fairly manage across the different sectors of the industry; and • a retrospective adjustment to the transition package received by licence owners reflective of an independent valuation of licences and buyback of each individual one. I'm looking forward to the opportunity to present to the inquiry committee in the coming months. Finally, Maurice Blackburn has announced an extension for registrations for the Class Action against Uber. We urge all drivers, operators and licence holders to put their name to this case as we take Uber to task over the devastation its illegal activities caused the market. Register at www. mauriceblackburn.com.au/ uberclassaction Safe travels, André www.cpvaa.com.au @CPVAA info@cpvaa.com.au Your representative with Government and all other relevant industry stakeholders, including Melbourne Airport. Why wait any longer? Join CPVAA today! ONLY $ 120 per person per year Visit www.cpvaa.com.au and follow the links to join us and become part of the voice in the Australian Point to Point transport industry. DRIVE A2B magazine · March 2019 17
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