Uber's ride-sharing service in Australia is delivering benefits to consumers worth more than $80 million a year, a report shows.

Since launching in April 2014, it has grown the market for travelling to a destination via a third party driver by 61 per cent, according to the study by Deloitte that was commissioned by Uber.

Uber operates an app that connects drivers to users, processes fare payments and identifies drivers who are given a rating by consumers after the journey.

The New South Wales Government legalised UberX in December and offered a $250 million compensation package to the taxi industry.

The service is also legal in the ACT, and the West Australian Government is heading down the same path later this year. Queensland is due to finish a review into the industry in August.

In August 2015, 1.2 million UberX rides were completed in Melbourne, Sydney, Brisbane and Perth.

The report, Economic Effects of Ridesharing in Australia, examined the impacts of what it described as the "new ride-sharing economy".

Deloitte Access Economics attributed the rise in the number of people using the service to cheaper prices and shorter waiting times.

The report examined UberX trips in August 2015 and found the services were, on average, 20 per cent cheaper than the equivalent taxi fare, including its "dynamic" pricing (when consumers pay substantially more for the services at peak times).

The report found the average waiting time for an UberX was 4.46 minutes, compared with 7.79 minutes for taxis.

Partner at Deloitte John O'Mahony said the report found that 14 million UberX rides were being taken on an annual basis.

"There are a range of other benefits, which can be hard to quantify but we've had a go at in this report," he said.

"From greater reliability, more availability of services, and people just liking participating in the sharing economy."

Deloitte director Ric Simes said: "The impact of the launch of UberX in Australia in April 2014 is playing out as one of our most compelling sharing-economy stories.

"UberX is both transforming and growing the point-to-point transport market, offering an additional option for consumers," Dr Simes said.

"While UberX is only providing a relatively small proportion of services compared to the taxi industry, it is delivering significant benefits for users."

Taxis provide $1.15b in 'total value' to NSW economy

But NSW Taxi Council chief executive Roy Wakelin-King said it was important to put the findings into context.

"I think that we really need to take a step back and look at where the real benefit from the point-to-point transport sector comes from, and that's the many thousands of people who deliver real taxi services day in, day out, right around Australia," he said.

Mr Wakelin-King pointed to a Deloitte report commissioned by the Taxi Council in December 2013 that found the sector contributed $936 million in direct value to the NSW economy, and $1.15 billion in "total value".

He also questioned the report's finding the Uber platform mitigated "some of the safety risks associated with the point-to-point transport industry".

"I don't necessarily subscribe to that view," he said.

"If Uber was genuine about safety, then they would have cameras in all of their cars.

"I find it difficult to accept that they're genuinely committed to safety."

Mr O'Mahony said while ride sharing had been growing very quickly, the Deloitte report did note it was still a small minority of the overall sector.

"At August last year, only 6 per cent of the point-to-point transport market was in ride sharing," he said.

"The remainder of course was still taxis, which are still an important feature of the transport market in Australia."