Is the proposed ride booking fee "Misuse of Market Power"?

​Limousine Licences were created by the government and sold to the private market. With regard to taxi licences, the government created them, put then to tender, and then sold them to the private market. Both of these Licences are transferable, subject to capital gains tax and stamp duty. Taxi and Limousine Licence owners lease their licences to operators, or operate the licence themselves.

Ride booking licences are being retained by the government and leased to ride booking operators.
​In essence, the Department of Transport and Main Roads (DTMR), are ride booking licence owners, and are now in direct competition with Taxi and Limousine Licence owners.

The offering of a below cost ride booking licence raises questions:

• Is this fair to the existing players in the market?
• Is this anti-competitive behaviour and does it constitute misuse of market power?

The Limo Action Group recommend a fully independent review of the pricing structure and ask the committee to question if the ACCC should be involved in the process.

Visit the ACCC website for more information on Misuse of Market Power & Anti-competative Behaviour