Uber has been declared legal in New South Wales. Mike Baird’s government has declared Uber officially legal, after the cabinet gave a green signal to ride the sharing service.
The taxi owners, on the other hand, speculate a significant down fall in their revenue. In answer, the Baird government has established a compensation plan for them.
As stated by Daily Telegraph, the compensation will cover 5,800 taxi plate owners and they will be given, on a case by case basis, $20,000 for their plate ownership. Each plate owner can claim up to two plate ownerships.
The Transport Minister Andrew Constance stated that the consumers have moved with the technology and it is the time for the government and the taxi industry to do the same. Constance also affirmed that the government has not forgotten about those who have invested their savings in taxi license.
As reported by Sydney Morning Herald, Uber’s Australia Manager, David Rohrsheim commented that the ride sharing regulation is recognizing consumers’ rights and allowing them to travel according to their convenience.
9 News stated that to cover the Industrial Assistance Package the passengers have to pay $1 levy for every trip.
The report also confirms that the legal status of Uber allows the traditional taxi drivers to continue picking up passengers off the street or from ranks and they will also have access to the Sydney airport.
Meanwhile, as confirmed by 9News, Uber drivers have to undergo a criminal background check and have to pay an accreditation fee of $45. They also have to pay CTP insurance and business registrations for their cars.
There are different responses on social media regarding the legalisation of Uber in NSW. The consumers have mixed response regarding the issue. One Twitter said, “UberX now legal in NSW, albeit with a $1 per trip charge on us to keep the taxi industry happy”. Another Twitter user, Eliza Barr comments, “Uber. No safer Than Hitch Hiking”.