The Taxi Federation has welcomed a steep increase in licensing fees, saying it has been too cheap and too easy to set up a taxi company.
Land Transport New Zealand yesterday announced a new fee structure for commercial road transport operators, to come into effect on October 1.
It said this would help raise industry standards and create a fairer system that benefited responsible operators.
Vehicles used in the operation of a goods, passenger, towing or rental service all need a transport service licence.
The annual licensing fee for each vehicle operated under such a licence will more than double, from $24 to $55.
The application fee for a new licence will increase from $30 to $440. The application fee to gain status as a new Approved Taxi Organisation will increase from $30 to $3678.
Taxi Federation executive director Tim Reddish said the organisation would have welcomed an even higher fee "because really that means you would get genuine, bona fide people that are serious about doing the taxi business properly".
Setting up a taxi company had been too cheap and easy.
Land Transport New Zealand's general manager regulatory services, Ian Gordon, said the new fees were developed in consultation with the industry, following the first major review of the transport service licence fee structure in more than 17 years.
"We're committed to applying regulations fairly and firmly to protect people and the additional revenue collected from these fees will allow us to do that more effectively."
The agency could employ more regulatory services staff, spend more time working with existing operators to raise standards and support new entrants to the industry, Mr Gordon said.
"The extra resources will also strengthen our ability to remove those who are unwilling or unable to meet legal requirements."
Road Transport Forum chief executive Tony Friedlander said the proposed fee increase announced in August 2006 was unreasonable.
"We negotiated that with them and they came back from $84 to $55."
Under the circumstances and given the negotiation process, the new figures were reasonable.
