4 Jun 2013

Taxi shake-up ahead in Victoria

8:30 am on 4 June 2013

A shake-up of the taxi industry is looming in Victoria, Australia, by the state government.

Radio New Zealand's Sydney correspondent says heavy regulation of the industry means licence plates are like gold - finding a cab at 3pm at change-over time can be impossible.

When you do find a cab, the driver often has no idea where he's going.

On top of all that, the industry runs a monopoly electronic payments system that adds a 10% surcharge when you pay by credit card.

Now the Victorian government is forcing a halving of the surcharge and forcing drivers to undergo a knowledge test of the city.

News of the reforms sent the share price of Cabcharge Australia, which runs the payments system, down 15%.