Kennett speaks out on cab licence super threat.
• by: Anne Wright
• From:Herald Sun
• July 16, 201212:00AM
FORMER premier Jeff Kennett has again taken aim at Professor
Allan Fels over taxi reforms.
Mr Kennett criticised comments by the taxi industry inquiry
chairman over the weekend that reducing the value of taxi licences
was necessary to reduce existing costs and increase drivers' pay
without driving up cab fares.
Mr Kennett said he would not support a reform that "retrospectively
will destroy many individuals' superannuation asset". "Allan is
also wrong in arguing you need to destroy an individual's financial
asset to secure meaningful taxi reforms," he said.
Public submissions to the inquiry closed on Friday.
Mr Kennett said he supported many of the recommendations flagged by
Prof Fels, but some were "unworkable" and would lead the industry
Suggestions to abolish a uniform colour for taxis would make it
harder for passengers to recognise taxis approaching, he said, and
the State Government should "accept the best and reject the
Prof Fels said over the weekend that the policy of "doing nothing
to improve taxi services if it has a negative effect on licence
values" had been the key to the failure of successive governments
to regulate for a good industry that provided excellent
"Most licence holders don't drive, but assign taxis to a third
party," he wrote in Saturday's Herald Sun.
West Preston couple Zeliha and Tuncay Kilic said they would be
bankrupted and lose their home if the licence they bought for
$520,000 a year ago plummeted in value.
Ms Kilic said her husband had worked in the industry for 12
years before a bank finally granted him a loan to buy a taxi
The couple wanted to ensure some financial security for themselves
and their daughter Dilan, 5.
"We're decent people, we pay our taxes. When we purchased our
licence 15 months ago we purchased it in good faith," Ms Kilic
"This was a sound investment in our business."
Return to the News