The WA Department of Transport is investigating whether appropriate disciplinary action has been taken after a taxi driver refused to accept a fare last month from Aboriginal woman and co-chair of Reconciliation WA, Carol Innes.

Ms Innes lodged a complaint about the incident, which she said was blatant racism from the Swan Taxis driver.

She told ABC Radio Perth it was about 4:30pm on a Thursday afternoon after a long day at work when she got into the first cab on the rank on William Street in the CBD, only to be immediately kicked out by the driver.

Ms Innes said she was told twice to get out and, feeling tired and frustrated, she stepped out and into the next taxi in the queue.

She said that driver had seen the incident unfold in front of him and was not going to stand for it.

"He pulled up behind the first driver and basically said to him, 'You're on the rank, it's not a car park, you take the fare, it's the same money,' but the first driver just told him to get f***ed," she said.

"He told me he probably would have given the driver a mouthful back if I wasn't sitting in his car but said he doesn't swear like that in front of ladies.

"He was so apologetic to me and so angry, it lifted my heart."

Carol Innes (right) with former artistic director Wendy Martin at the opening ceremony of the 2018 Perth Festival 2018. ( Supplied: Perth Festival/Toni Wilkinson )

Ms Innes said she had intended to let the matter go but the support of the second driver encouraged her to lodge a complaint with Swan Taxis.

"I think if you're in a public service and you're doing a public service to the whole of the public, you need to treat the whole of the public with the respect that is due," she said.

"I think it's ignorance. He might have had his own issues with other people, and that could have been it."

Department investigating

Upon lodging a complaint with the taxi operator, Ms Innes said she was told there was little they could do as she had not noted the driver's name or identification number.

She then contacted the City of Perth and tracked down the driver's vehicle number, which had been captured on the city's CCTV system.

Swan Taxis confirmed to the ABC that the driver's details were provided to the Department of Transport, and the company was assisting with investigations.

Ms Innes said she was disappointed with Swan Taxis and the time taken to address her complaint.

Ms Innes said racism from taxi drivers was still a common problem. ( ABC News: Andrew O'Connor )

A spokeswoman from the Department of Transport confirmed it was notified of the complaint more than two weeks ago.

She said the Department was prepared to step in to ensure the issue is resolved appropriately.

An all-too-common complaint

Ms Innes said incidents of racism involving taxi drivers was still common in Western Australia.

"Over and over and over again, when we're out together, taxi drivers won't stop for us," she said.

"If we've got non-Aboriginal people with us they will stop for them and we will jump in.

"I've heard taxi drivers call us 'abos' and I've said 'stop the car and let me out right here'."

Ms Innes said Aboriginal people often report trouble getting taxis in Perth. ( ABC News: Andrew O'Connor )

She said it was important for her to stand up and call out racism when it occurred, on behalf of those who are often unable to do so.

"A lot of our people don't get the opportunity or the information I've got," she said.

"Whilst we can talk about building reconciliation we still need to work with the people serving the public, that they need to demonstrate a level of respect for all people."

Only last month, Aboriginal and Torres Strait Islander Social Justice Commissioner June Oscar told a Senate estimates committee of her personal experiences of racism involving taxis.

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"I too have had personal experiences of taxis not taking my fare for whatever reason," she said.

"And I have witnessed, in Darwin, at night, at the Mindil Beach Markets, four Aboriginal women with small children approach five taxis, lined in the taxi queue and they all locked their doors.

"When I approached the same cabs, they unlocked the doors, and I went up to ask why it was they had sought to lock their doors to these Aboriginal women with small children.

"The answer was, 'We don't know if they have the money to pay for the fare', and the women had not even been able to enter the vehicle.

"So it does happen. It has happened to me and I have witnessed it happen to other Indigenous people."