Taxis in Australia are highly regulated by each Australian state and territory, with each state and territory having its own history and structure. In December 2014, there were 21,344 taxis in Australia. Taxis in Australia are required to be licensed and are typically required to operate and charge on a fitted taximeter. Taxi fare rates are set by state or territory governments. A vehicle without a meter is generally not considered to be a taxi, and may be described, for example, as a hire car, limousine, carpool, etc. Most taxis today are fuelled by liquid petroleum gas. Cabcharge Australia owns and operates the Cabcharge payment system, which claims to cover about 97% of taxis in Australia, and operates one of Australia's largest taxi networks.Taxi services are particularly valuable to less mobile groups in the community, such as elderly and disabled people. As a result, government intervention has historically ensured that taxi services have assisted in ensuring equity, reliability, quality, and safety. At the same time, regulation has created barriers to entry and limited competition in the sector. In April 1995, the Commonwealth and all State and Territory governments entered into the Competition Principles Agreement that required all jurisdictions to review legislation which restricts competition by the year 2000. As a result of pressures from competition law, the Competition and Consumer Act 2010 , and evolving technology, the regulated industry is facing challenges from deregulated operators, such as ride-sharing operators such as Uber.
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