2014–15 ANNUAL TAXISERVICESCOMMISSION REPORT Continuing to drive change that enables accessible, safe and customer responsive commercial passenger vehicle services in Victoria Published by Taxi Services Commission, 1 Spring Street, Melbourne VIC 3000. © Taxi Services Commission 2015 This publication is copyright. No part may be reproduced by any process except in accordance with the Provisions of the Copyright Act 1968. Authorised by Taxi Services Commission, 1 Spring Street, Melbourne VIC 3000. ISSN 2204-0382 (Print) ISSN 2204-0390 (Online) Print managed by Finsbury Green, Level 9, 124 Exhibition Street, Melbourne VIC 3000. This document is available in an accessible format at www.taxi.vic.gov.au. Printed on environmentally friendly paper. LETTER TO THE MINISTER The Hon. Jacinta Allan MP Minister for Public Transport 1 Spring Street Melbourne VIC 3000 Dear Minister Annual Report 2014–15 In accordance with the provisions of the Financial Management Act 1994, I am pleased to present the Taxi Services Commission’s Annual Report for the year ending 30 June 2015 Graeme Samuel AC Chair Taxi Services Commission 25 September 2015 ABBREVIATIONS 4WD Four-wheel drive (vehicle) FTE Full Time Equivalent AAS Australian Accounting Standards GMTLR Greater Melbourne Taxi Licence Release AASB Australian Accounting GPS Global Positioning System Standards Board GST Goods and Services Tax ACCC Australian Competition HR Human Resources and Consumer Commission IBAC Independent Broad-based ARMC Audit and Risk Anti-corruption Commission Management Committee iFACTS In Field Acquisition of Compliance ATAC Accessible Taxi Advisory Committee Trends and Statistics CALD Culturally and Linguistically Diverse ISO International Organisation CEDA Committee for Economic for Standardisation Development of Australia MP Member of Parliament CEO Chief Executive Officer MPTP Multi Purpose Taxi Program CFO Chief Financial Officer NDIS National Disability Insurance Scheme CLC Community Legal Centre OH&S Occupational Health and Safety CPSU Community and Public Sector Union PBBS Performance Based Booking System CPV Commercial Passenger Vehicle QAC Quality Assurance Centre CTH Commonwealth RTO Registered Training Organisation DTF Department of Treasury and Finance RTW Return To Work DTPLI Department of Transport, Planning SOE Statement of Expectations and Local Infrastructure SV Special Purpose Vehicle DEDJTR Department of Economic Development, Jobs, Transport and Resources SRG Stakeholder Reference Group DHHS Department of Health TII Taxi Industry Inquiry and Human Services TQR Taxi Quality Rating EO Executive Officer TSC Taxi Services Commission EOI Expression of Interest VAGO Victorian Auditor-General’s Office ERC Executive Remuneration Committee VIPP Victorian Industry Participation Policy FMA Financial Management Act 1994 VPS Victorian Public Sector FOI Freedom of Information WAT Wheelchair Accessible Taxi FRD Financial Reporting Direction Changes in terminology from 1 July 2015 Terminology to 30 June 2015 Terminology from 1 July 2015 Disabled Persons Taxi Advisory Committee Accessible Taxi Advisory Committee CONTENTS LETTER TO THE MINISTER 1 OUR PEOPLE 41 ABBREVIATIONS 2 Public administration values CONTENTS 3 and employment principles 41 Workforce strategy 41 COMMISSIONERS’ FOREWORD 4 Occupational health and safety (OH&S) 42 A/CHIEF EXECUTIVE OFFICER’S REPORT 5 Comparative workforce data 44 ACHIEVEMENTS 6 FINANCIAL STATEMENTS FOR THE ABOUT THE TAXI SERVICES COMMISSION 8 FINANCIAL YEAR ENDED 30 JUNE 2015 46 Vision 8 Accountable Officers’ and Finance Values 8 and Accounting Officers’ declaration 48 Objectives 9 Victorian Auditor-General’s report 49 Functions 9 Comprehensive operating statement PROGRESS AGAINST REFORMS 10 for the financial year ended 30 June 2015 51 Balance sheet as at 30 June 2015 52 YEAR IN REVIEW 13 Statement of changes in equity Statement of Expectations 17 for the financial year ended 30 June 2015 53 Performance of the industry 18 Cash flow statement for the financial year Financial summary and review 27 ended 30 June 2015 54 Grants programs 29 Notes to the financial statements GOVERNANCE AND for the financial year ended 30 June 2015 55 ORGANISATIONAL STRUCTURE 32 Attestations for risk and insurance compliancee 95 Organisation structure 32 APPENDICES 96 Commissioners 34 Appendix 1 – Disclosure index 96 Executive 36 Appendix 2 – Output Performance Measures 99 Divisions of the TSC 37 Appendix 3 – Consultancies, major contracts and government advertising 102 Appendix 4 – Summary of reform recommendations 103 Appendix 5 – Compliance statements 105 Appendix 6 – Environmental performance report 107 COMMISSIONERS’ FOREWORD We would like to acknowledge the input of all As we reflect on our second committee members who have enabled productive discussion about the impact of the taxi and hire car year of operation, the TSC will reforms on the Victorian community. continue to work closely with The achievements outlined in the annual report have been made possible through the dedicated efforts of consumer representatives and all employees. We would like to thank them for their contribution to the TSC’s successful delivery industry participants to improve of major reforms and continued regulatory services. Victoria’s commercial passenger Although the TSC and commercial passenger vehicle services. industry face many challenges in the year to come, the work done by the TSC to date has laid the During this time, the TSC’s role has been significant, foundations for a much more competitive, flexible with reform remaining a high priority in addition to and innovative industry going forward. our standard regulatory activities. The organisation has implemented an extensive number of regulatory Over the next year, the TSC will continue to build reforms in a relatively short period, including upon improvements already made in the point-to- 24 recommendations in this financial year. point commercial passenger vehicle market so that it benefits the Victorian community and our Already we are beginning to see higher customer visitors alike. satisfaction results from passengers who are experiencing improved standards across The TSC is looking forward with optimism and the industry. confidence to another year of providing a valued service to the Victorian community. In the next five years, there will be significant opportunities for growth within the commercial passenger vehicle market. Personal mobility is already becoming increasingly important in the way people travel, and the TSC has a role to play in supporting Graeme Samuel AC innovation and competition in the industry. Chair We would like to thank Marnie Williams, who served as Chief Executive Officer (CEO) until March 2015, for the significant contribution she made to the organisation during this period of major change Merran Kelsall and transition. In June 2015, the TSC announced the appointment of our new CEO—Aaron de Rozario, former General Manager of Passenger Services in the Department of Transport, Western Australia. We look forward to working with Aaron in 2015-16. Doug Shirrefs Following the establishment of the Taxi and Hire Car Industry Ministerial Forum, in February 2015 the Consultative Committee ceased meeting, with many of the members transitioning to the forum. 4 TAXISERVICESCOMMISSION ANNUAL REPORT 2014–15 A/CHIEF EXECUTIVE OFFICER’S REPORT The Multi Purpose Taxi Program continues The TSC’s remit is broad, but to enable travel services for all members of the community––with 4.6 million trips taken this year. at the core is our function to The TSC is also working closely with the Department of Health and Human Services to support the NDIS facilitate customer-responsive, pilot program in the Barwon Region. safe, competitive, efficient In the past two years, factors such as population growth, generational change, urbanisation and and accessible commercial an increase in tourism have resulted in growth within passenger vehicle services. the transport sector. While this is a positive change, the commercial passenger vehicle industry will Our decision-making, policies and programs continue continue to face a number of challenges, primarily to be driven by sound use of data and the evidence driven by technological transformation. at hand. We will continue to build our data capabilities by working with industry to streamline processes With digital mobility allowing more people to connect that will assist in the easy collection of information. and engage across media platforms, the emergence This information will inform consumer choice, and of ridesharing services and new vehicle technology allow members of the public to make sound decisions are also changing the way consumers view a vehicle- to invest in the industry. for-hire transport experience. The organisation has gone through extensive During a time of major change, I am proud that change over the last 12 months. The state our people continued to deliver great results for the election in November 2014 brought a change Victorian community. While there are many challenges of government to Victoria with some new directions ahead, I am grateful for the outstanding contribution for our organisation as part of the economic made by everyone at the TSC as we continue development portfolio. to support safe, accessible and competitive commercial passenger vehicle choices statewide. The reforms implemented to date represent a large component of the work undertaken by the TSC in 2014–15. In the period 1 July 2014 to 30 June 2015, 1,758 drivers attained the