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What you need to know

A small passenger service (SPS) operates for hire or reward, and carries 12 people or fewer, including the driver. Examples include taxis, app-based services, shuttles, private hire, dial-a-driver and facilitated cost-sharing.

In 2015, we undertook a review of the SPS regulatory environment to consider if it was fit for purpose and flexible enough to accommodate new technologies. New SPS rules came into effect on 1 October 2017 as part of the Land Transport Amendment Act 2017, as did 3 related Land Transport Rules  ̶  Operator Licensing 2007, Work Time and Logbooks 2007 and Driver Licensing 1999.


The work to date

May 2017–Oct 2017

Act passed and rules come into effect

Changes to the rules affected taxis, shuttles, private hire vehicles and app-based passenger services. There were also specific changes for dial-a-driver, carpool operations managed by a third party and for large passenger services  ̶  that is, vehicles with 13 seats or more, including the driver.

More information
Dec 2016

Amendments consulted on

The consultation asked for feedback on 3 options for setting a cost-sharing rate for facilitated carpooling, and 3 new offences and penalties regulations needed to support the proposed Land Transport Rule amendments.

More information and related documents
Sep 2016

Bill introduced to Parliament

Changes to SPS Rules were introduced to Parliament, as part of the Land Transport Amendment Bill.

More information
May 2016

International report released

The International Transport Forum (ITF) released a report looking at principles for regulating app-based ride and taxi services. These recommendations and principles endorsed the changes the Government announced in April 2016.

More information and related documents
Apr 2016

SPS overhaul announced

Based on the review and public consultation, the Government announced it would simplify the SPS rules, but maintain a focus on safety for passengers, drivers and vehicles. This meant the same rules would apply to all services that connect passengers with customers, including taxi, private hire, ridesharing, and dial-a-driver services.

More information and related documents
Dec 2015

Review results consulted on

For the public consultation we provided a paper that set out the results of our review and identified 5 broad approaches for the future rules to govern how the SPS sector operates.

More information and related documents
Feb 2015–Mar 2015

SPS framework and sector reviewed

Our review considered the SPS regulatory framework contained in the Land Transport Act 1998 and Land Transport Rule: Operator Licensing 2007. We worked with the Waka Kotahi NZ Transport Agency and the police to review the SPS sector.

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