The future of Beam e-scooters in Hobart remains uncertain following a show cause notice issued by the city council.
The notice was sent after the City of Hobart became aware of allegations that Beam has been under-reporting the number of active scooters in other cities.
Several Australian and New Zealand cities, including Canberra, Brisbane, Townsville and Auckland, have already terminated their contracts with Beam in the wake of these revelations.
Hobart City Council CEO Michael Stretton has confirmed that an investigation is underway.
He said if Beam is found to have breached its contract, the council “will have no hesitation in canceling its licence”.
Stretton has confirmed to Pulse that Beam made contact within the timeframe set out by the council.
“The City of Hobart has received a response from e-scooter provider Beam to our show cause letter sent on Tuesday 3 September,” he said.
“We will carefully review it before making any further decisions.”
Last week, councillors Marti Zucco and Louise Elliot called for the immediate removal of the e-scooters, saying their benefits do not outweigh the risks.
“I’ve seen too many photos of x-rays where locals have had their ankles and collarbones screwed back together and now there is zero trust in the provider,” Elliot said.
“Enough is enough.”
The council will address the future of e-scooter operations in the city at its September meeting.
