I prepared this column under the shadow of the Greater Brisbane COVID-19 lockdown that was imposed at the end of March and which caused much uncertainty as we entered the Easter holiday. Such episodes are, sadly, not completely unexpected as we wait for the vaccination rollout to be completed. We reached out by phone to offer assistance where we could to members in the Greater Brisbane area that were affected, and it was a considerable relief that the lockdown lasted for just three days.
However, even such a relatively short lockdown does have consequences and, unfortunately, our first IR webinar, How to Avoid Wages Theft, had to be postponed. We will reschedule in due course and hope that the large number who had registered to take part will attend the rearranged event.
Advocacy
Mutual Recognition
This year, there’s been a busy round of advocacy duties requiring submissions to Commonwealth departments on policy matters relevant to members in the operation of their businesses. Two of these policies are now in the Federal Parliament and being debated which I’m monitoring for their outcome. The Mutual Recognition Bill, which we supported in principle, seeks to introduce a uniform scheme of automatic mutual recognition for licensed occupations across the states and territories. The policy to provide greater ease for those with licensed occupations to pursue their trade across the various jurisdictions in Australia is worthy. We highlighted, however, the need for local registration, particularly in the instance of motor dealers (wreckers) from another jurisdiction operating in Queensland when the licence may have been suspended for an infringement in the original licensing jurisdiction. This means without local registration inappropriate actions could go undetected. Queensland has a strict compliance system (Motor Dealers and Chattel Auctioneers Act 2014 and the Motor Dealer and Auctioneers Regulation 2014). A Senate inquiry has been foreshadowed about the impact on various occupations in relation to the way in which those regulations apply across jurisdictions. We will make a submission drawing attention to our concerns, which is also shared by Queensland’s Office of Fair Trading.
Motor Vehicle Service and Repair
The second policy relates to the Competition and Consumer Amendment Motor Vehicle Service and Repair Information Sharing Scheme Bill which was introduced into the House of Representatives in the last sitting week. There is plenty of time for it to be debated as its measures do not come into effect until 1 July 2022. We made a submission, as it relevant to both our new car dealers and repair and vehicle servicing sector. This bill establishes a mandatory scheme to promote competition in the nation’s automotive sector by requiring all motor vehicle service and repair information be made available for purchase by independent repairers at a fair market price. It requires manufacturers to provide independent repairers with the same information they give to their authorised dealers – that is diagnostic, repair and servicing information covering the majority of vehicles including passenger and light-goods vehicles built from 2002. Motor vehicle servicing and repair is a $23 billion industry with nearly 35,000 businesses with over 106,000 employees. An issue to which we drew attention was the absence of a standard or uniform application process to access information.
Future Fuels Strategy
Another piece of policy work which is in the process of being signed off is the response to the Commonwealth’s Future Fuels Strategy Discussion Paper. It sought feedback on a set of proposed principles and priority areas that included enabling consumer choice, encourages industry development and reduces emissions in the road transport sector. From our perspective, the Discussion Paper missed the urgent need for national policy in the face of changing business and community attitudes to decarbonisation and the global energy transition. Compared with other advanced economies, Australia is behind the sustainable transition to new vehicle technologies incorporating electric and autonomous transport vehicles. By way of contrast, we drew attention to State and Territory jurisdictions which had set carbon emission and energy transition goals. The lack of a national policy and goals is contrary to the medium/long-term evolution of the automotive industry at time when technological advancements have redefined the way vehicles are manufactured, operated and maintained.
Motor Vehicle Safety and Technology
Upcoming is an important work in which members will have interest. I mentioned it in last month’s Viewpoint and it relates to the Queensland Parliament’s Transport and Resources Committee’s Inquiry into Vehicle Safety, Standards and Technology including immobiliser technology. Our Industry Divisions have developed views and policy position on matters that are the subject of the Terms of Reference including vehicle title, written-off vehicles and inspections. We’ll give a comprehensive response to these and other issues the subject of the inquiry.
There have been some concerns raised with the safety and speed aspects of electric pushbikes and stand-on scooters. When purchased, they are speed-limited. However, it appears customers are being offered information that could alter the speed limiter so that it can travel at increased speeds. These are not registered; able to be ridden by unlicensed riders on footpaths and parked there; and the only requirement is a bicycle helmet. Undoubtedly, the safety of riders and pedestrians alike is at risk. We’ll raise alterations to speed-limited pushbikes and scooters in our submission to the Parliamentary Committee and also with officers of the Department of Transport at our next scheduled meeting.
An interesting matter on which that the Parliamentary Committee seeks views relates to remote engine immobilsers (REI). Queensland Police Union President and Chief Executive Officer Ian Leavers, has been a consistent advocate to have the remote technology fitted in all new cars to enable officers to remotely shut down the engines of vehicles involved in pursuits. Ian Leavers has been proactive in his advocacy having written to the last eight Prime Ministers to have the Australian Design Rules (ADR) changed to require all new vehicles manufactured after a future date to be fitted with REIs. This would need to be a long- term goal as the ADRs are national standards for vehicle safety, anti-theft and emissions and must meet international standards governed by the United Nations Economic Commission for Europe. Another suggestion from Ian Leaver is for the cost of REI technology and fitment to be defrayed by the insurers which would be one of the beneficiaries of such a scheme. Our submission will include a response to this proposal.
Consumer Guarantees
A timely reminder to members: The Treasury Laws Amendment (Acquisition as Consumer- Financial Thresholds) 2020 Regulations come into force in 1 July 2021. These broaden the Consumers Guarantees regime and provide greater protection for consumers and business customers. From 1 July 2021, the Consumer Guarantees will apply to supplies of goods and services valued up to $100,000 – currently $40,000 – providing greater protection for all consumers and in particular for business customers as they are more likely to purchase goods and services with a higher monetary value. It should be noted, suppliers that fail to comply with the Consumer Guarantees may face significant liabilities beyond the financial costs of remedying their non-compliance. The Regulations were introduced in response to the Australian Consumer Law review, to which the Association made consistent responses.
Finally
Some good news on the sales of electric vehicles in Australia. Sales doubled in the first two months of this year versus the same period in 2020. Recent new car sales data reveals 558 electric vehicles were reported as sold in January and February 2021 – an increase of 105.1 per cent over the same months last year. The increase could be higher if Tesla sales were included in official data, but it does not do so although it has operated in Australia since 2014.
Until next month, take care and stay safe.