MTA Queensland five-rings logo

September 2019

Citizens, governments, business and industry, including the automotive value chain, are grappling with the management and disposal of waste. So acute is the waste problem that at the recent Council of Australian Governments (COAG), leaders agreed to develop a holistic strategy to reduce waste. This includes the implementation of a timeline to ban the export of waste and work towards building an economy for Australia to generate highly valued recycled commodities. The focus will be on plastics, decreasing the amount of waste going to landfill, and maximising the capability of the waste management and recycling sector to collect, recycle, reuse, convert and recover waste. MTA Queensland prides itself on being environmentally sustainable and conscious waging on our own war on waste internally led by our Green Team.

Now is the time to go beyond our industry achievements and take up the COAG initiative and collaborate with waste technological experts to control and manage the waste generated by the automotive value chain. This is a critical issue that must be addressed as the automotive industry is one of the largest contributors of waste. Statistical evidence states that in 2018 some 800,000 vehicles were sent to landfill. This problem, and others such as tyre disposal, is surmountable by engaging in what is referred to as the ‘circular economy’. This is where products and materials are recycled, repaired and reused rather than thrown away; and one in which waste from one industrial process becomes a valued input into another.

Our MTA Innovation Hub has the capacity to attract and engage with the academics and industry experts on opportunities in the waste technologies and management. One entity, the Advisory System for Processing, Innovation and Resource Exchange is targeting the automotive industry due to the massive amounts of waste created by dealers, and the servicing and repairing of motor vehicles. Its focus is to create an online marketplace that matches businesses looking to dispose of the waste it creates with remanufacturers, purchasers and recyclers of waste.

Our Parts Recycler Members are undergoing transition to the new waste classifications and waste activity thresholds through the Environmental Protection (Waste ERA Framework) Amendment Regulation 2018. These changes occurred as a result of a review undertaken by the department between 2014 and 2018.

As a result of the review metal recovery is now regulated by the department and is defined as ERA62 Resource recovery and transfer facility operation and ERA 54 Mechanical waste reprocessing (for those businesses who have a fragmentiser).

The fee structure that applies under the new ERA62 and ERA54 is commensurate with the level of environmental risk posed by the activity because of the category of waste being received. As automotive equipment is deemed to be a general waste, most operators of wrecking yards are only required to hold an approval for receiving general waste, rather than requiring a more expensive approval under the review for receiving category 1 or category 2 regulated waste.

Advocacy

Input into the National Transport Commission’s consultation regulation impact statement In-service safety for automated vehicles was completed and forwarded for consideration. Upcoming is the response to the Franchising Taskforce Issues Paper. This seeks views on seven draft principles emanating from the recommendations in the Parliamentary Joint Committee on Corporations and Financial Services’ Fairness in Franchising Report. All our businesses operating under a franchise model can access the issues paper at https://docs.employment.gov.au/documents/franchising-taskforce-issues-paper. The Taskforce has advised that to maintain confidentiality of feedback to the Issues Paper responses will not be published. The closing date is 20 September for submissions.

New laws applying to the Queensland Civil and Administrative Tribunal (QCAT) that increase protections of people sold new and old vehicles come into effect from 1 September 2019. The jurisdictional limit for such matters is now $100,000 raised from $25,000. QCAT will be able to hear matters for both new and old vehicles with numerous defects that reoccur despite repair attempts or where defects have caused a vehicle to be out of service for a prolonged period.

QCAT has received numerous enquiries about this legislation.

The new laws contained in the Civil and Administrative Tribunal and Other Legislation Act 2019 are a consequence of the Queensland Government’s 2017 State General election commitment. This was ‘improving fairness and providing greater rights for Queenslanders buying a vehicle. Included in the policy statement was the undertaking to advocate for national ‘lemon’ laws specifically to protect new car buyers. To help you understand what these changes mean you can refer to the new dedicated motor vehicle dispute page on QCAT’s website: https://www.qcat.qld.gov.au/matter-types/motor-vehicle-disputes.

Division news

David Fraser, after 16 years as Chair the Queensland Farm and Industrial Machinery Division (QFM&IDD), stood down at the Division’s recent Annual General Meeting. In that time, he was a Board Director which included 10 years as the MTA Queensland’s Chairman of the Board of Directors. In all, David’s service to the QFM&IDD spans more than two decades, providing contributions as a member and in leadership roles. QFM&IDD members elected vice-Chair Bruce Sommerfield, Dealer Principal of the South Burnett Machinery Pty Ltd at Murgon, to the Chairman’s role. He will take his place on the MTA Queensland’s Board of Directors following its Annual General Meeting.

The Division’s farm machinery sector has had a tough year. In David’s own words: “2019 is a year that will be recorded in history as a year that farm machinery dealers hope never to witness again.”

We wish the incoming Chair Bruce Sommerfield, and that sector, ‘fair seasons’.

The Takata airbag recall continues apace. For the Automotive Remarketing Division, the recall remains a significant issue, particularly the grasping of the requirements to ensure public safety. The expansion of the brands and models affected by the recall, and the obligations related to replacing the defect air bags has kept the recall at the forefront of the Division’s members’ minds.

Earlier in the month, with members from the National Auto Collision Alliance Division, I attended Capricorn’s Paint and Panel conference in Melbourne. It brought together industry specialists and suppliers to share their knowledge on technological advancements, product developments and the growth opportunities that exist for repairers.

Member Engagement Strategy

Across the 16 years I’ve been with MTA Queensland, I’ve enjoyed the one-on-one interactions with members to discuss their industry issues or the services provided by the corporate office. The Member Engagement Strategy underway is another opportunity to listen to and inform members of the many advantages of belonging to MTA Queensland. These include the special deals from our corporate partners. Underway is a no-obligation comparison of electricity (Core SME) eftpos (Commonwealth Bank) or insurance (Guard) costs.

Finally

The year is flying by fast. If you don’t mind, I’ll take this opportunity to jog your memory that on 16 November, at the South Bank Emporium Hotel, the prestigious Industry Awards Dinner will be held. A preview of the finalists for the various awards is in this edition.

The Swooper flags available from MTA Queensland have proved to be very popular. In one day, 50 of the free flags were given away. The offer is only available to current financial members. Congratulations to members who swooped up the offer for the limited stock provided on a ‘first in until stock is exhausted basis’.

Until next month, take care and stay safe.