Developments in the Australian Competition Tribunal

Taxi matters

The Tribunal’s hearing reviewing the ACCC’s determination of 11 March 2005 not to revoke 12 taxi authorisations was held on 20–21 March 2006.

The authorised conduct related to the provision of radio booking services to taxi operators and drivers, on the condition that they accept certain forms of non-cash payments approved by the network.

The Tribunal handed down its decision on 27 June 2006 revoking the authorisations. The decision was made on the basis that the benefit of certainty of acceptance of non-cash payments was not sufficient to sustain the authorisations. The Tribunal agreed with the ACCC’s proposition that irrespective of the authorisations taxi operators and drivers are likely to continue to accept non-cash payments. The Tribunal commented that the decision required fine balancing.