Fourteen-hour shifts and dwindling market share: Driver sees dark times for Bendigo taxi industry

While many drivers in Bendigo were unsure what impact recent regulation changes would have on the industry, driver of 40 years Patrick Holahan was adamant – things have rarely been tougher.

Mr Holahan shared his record of daily takings with the Bendigo Advertiser this week, which showed he earns an average of $250 per 14-hour shift – down from an average of about $400 before the buy-back in October.

From July 1, a $1 levy plus tax has been added to each fare.

Related: More taxis on Bendigo roads than ever, minister claims

Mr Holahan said the levy and ongoing network costs, combined with more taxis on the road and the growing popularity of Uber and lifts for cash, meant many drivers in Bendigo were forced to work longer hours or leave the industry.

“The changes affect drivers in cities like Bendigo, Ballarat and Geelong the most because we do the shortest fares. We regularly have fares that are $7 or $8, and you won’t find that in Melbourne,” he said.

“So adding a levy onto that is a greater increase in regional cities.

“I’d say everyone in taxis is suffering a bit at the moment. People’s businesses that they created over 40 years have been wiped out.”

Mr Holahan claimed the levy would be taken out of driver’s takings every three months, but other drivers disputed the claim.

There remained uncertainty among drivers in Bendigo, with most unaware of how the changes would be implemented.

Since October last year, at least 15 more taxis have been put on the roads in Bendigo.

Minister for public transport Jacinta Allan said deregulating the taxi industry would increase competition and drive down prices.

Taxi operators could not increase their fares unless approved by the Essential Services Commission.

She claimed drivers would be $23,000 better off after licensing fee reductions, but Mr Holahan alleged drivers were still facing costs of about $15,000 per annum to permit holders and still have to pay $700-per-month to access the dispatch system.

Drivers were mostly skeptical about the savings, and were concerned the unregulated “lifts for cash” scene in Bendigo would further eat into the market. Dozens of people source lifts using the Facebook page every day in Bendigo.

A government spokesperson said other measures had been put in place to help country taxi drivers.

“The government has not only cut the cost of an annual taxi licence to $52 but also cut the annual TAC premium for taxis from around $2500 to $500,” she said.

“The government is also implementing a rebate scheme for country areas if the levy has a disproportionate affect in smaller communities.”