www.autofile.co.nz February 2019
The trusted voice of the auto industry for more than 30 years Biosecurity measures Specialised for bugs ‘ineffective’ training that’s proven to The New Zealand and Australian governments are being urged increase profits to ‘engage with industry to find solution’ and prevent crisis p 6 global shipping company has described the government’s measures Ato prevent stink bugs invading New Zealand as ineffective and Support for risk ratings inconsistent. Wallenius Wilhelmsen Ocean p (WWO) is calling for the Ministry 12 for Primary Industries (MPI) and its Australian equivalent to urgently introduce new biosecurity regulations or face putting the Commission charges economies of both countries at risk. WWO’s Morning Lynn motor-vehicle trader It says more action is needed to minimise the risk of brown WWO says infestations of BMSBs Wallenius Wilhelmsen, believes marmorated stink bugs (BMSBs) found on vessels en-route down the BMSB has migrated from East becoming established and to under are causing havoc with local Asia to the US, Canada and Europe eliminate delays to imports. supply chains. causing massive damage to crops, During the current high-risk It reports bugs are breeding, and there’s a danger of it spreading. season, two WWO roll-on roll-offs, ships are re-routing, trucks are It wants the MPI and Australia’s Los Angeles the Morning Lynn and Carmen, laying idle, supply chains are Department of Agriculture and p 16 show highlights have been among five vessels collapsing and costs are escalating Water Resources (DAWR) to take turned away from Auckland for in Australia – similar to the chaos action following delays to cargo p 20 treatment offshore before being seen in New Zealand early last year. shipped to both countries. allowed back to discharge cargo. And it’s not just car carriers that To prevent BMSBs from The Thalatta then became the are at risk. So are box ships, break- entering New Zealand and company’s third ship to be affected bulk vessels and other general Australia, cargo must be free Stephen Glading when it had to leave Fremantle, cargo carriers. of contamination – particularly reflects on career Western Australia. WWO, which is a division of live insects – and treated before
[continued on page 4]
GLOBAL VEHICLE LOGISTICS NZ - JAPAN - AUSTRALIA - UK - EUROPE Tel: +64 9 825 0888 www.jacanna.co.nz Call Steve Owens now on 021 947 752
guest editorial Political will needed
Directors Editor Brian McCutcheon Darren Risby to front the charge [email protected] [email protected] ph. 021 455 775 Journalists Mark Gilbert asks if the next few years will Darren Wiltshire Sue Brebner-Fox [email protected] [email protected] ph. 021 0284 7428 trigger the shift to electric cars in New Zealand Lucy Pink [email protected] Designer ’m jolly following the is quite a large car. Adrian Payne Motorsport festive period and Autolink Cars’ owner, [email protected] Mark Baker [email protected] electrified having Henry Schmidt, reliably watchedI the Evans boys informs me he can get Autofile magazine is also available online as a readable file or downloadable as a PDF. Subscriptions are available at Autofile Online – www.autofile.co.nz. do the business in the a set of golf clubs in the Back copies are also available on the website. first Formula E event of trunk without having Copyright: Published monthly by 4Media Ltd, their season. to fold the rear seats PO Box 6222, Dunedin 9059. It’s a great down. This fact was a MARK GILBERT All statements made, although based on information believed competition and I hope Chairman, Drive Electric consideration for larger to be accurate and reliable, cannot be guaranteed, and the group working on passenger cars, so a no liability can be accepted for any errors or omissions. Reproduction of Autofile in print or digital format in whole or a New Zealand round gets the useful added benefit. part without written permission, whether by copying or any support needed to make this The Tesla 3 plan is harder other means, is strictly forbidden. happen on Auckland’s waterfront. to predict. When the car was All rights reserved. ISSN 0112-3475 (print) ISSN 2350-3181 (online) It would be spectacular. announced, Tesla took deposits I’m excited further by what from interested buyers. How many appears to be a strong movement orders came from New Zealand towards the “tipping point” many isn’t widely known, but if right- talk about in regards to electric hand-drive (RHD) deliveries start vehicles (EVs). in 2019 and there’s evidence they Vehicle Inspection NZ With most of the main will, its numbers will likely soar. automotive players in the world What would make me even announcing new electric car more jolly and electrified is for models with improved ranges, our coalition government to Entry Certification we should also anticipate more clearly state what it’s planning to competitive pricing with Nissan, do to support the uptake of EVs. specialists Mitsubishi and the Renault Drive Electric recently Alliance already stating this. supported Norwegian EV In New Zealand, Mitsubishi’s supremo Christina Bu’s visit to Outlander and Hyundai’s Kona are New Zealand. Her parting shot great vehicles. They sit in the volume was to call for political will – EVs SUV market and are well-priced. can help fast-track actions to And there are some exciting address climate change and lower new models due for launch this CO2 emissions. year, which will be competitively But there isn’t anything coming priced to grow the EV market out of Wellington except soundbites share, such as Volkswagen’s e-Golf, through phrases such as “vision Nissan’s Leaf and the Tesla 3. carbon zero by 2050”, “feebate The VW Group has been scheme” and “emission testing”. particularly bullish with plans The Productivity Commission’s for electric cars. Add this to report is well-worth the read, but messages coming from Ford, would be even better if actioned. • Entry Certification for imported cars • Vehicle Appraisals • Pre-Purchase Inspections • WoF • CoF • Road User Charges General Motors, Mercedes-Benz, With numerous countries – • Registration & relicencing • Exhaust emission testing BMW and Audi, and the segment including the world’s biggest RHD is about to light up. market, the UK – signalling the Nissan NZ is evaluating end of fossil-fuel vehicles by 2035, 0800 GO VINZ VINZ.CO.NZ Tel: +64 9 825 0888 www.jacanna.co.nz the latest Leaf model, which what’s New Zealand planning? www.autofile.co.nz 3 news
[continued from page 1] loading if from a high-risk country. Association (MIA) reported in the DAWR to engage with industry to t WWO says ensuring compliance January issue of Autofile, and find a solution that will be effective is the importer’s responsibility, supply-chain experts, including before the next BMSB season in while the presentation of clean other shipping companies. September. If no solution is found, cargo at the port of loading is The MIA believes South Korea the result could be devastating for down to the shipper. and China will, at some stage, economies.” But Simon White, WWO’s head need to be added to schedule WWO has outlined its areas for of commercial, says biosecurity three of the MPI’s import health action to the Kiwi and Australian measures in both countries aren’t standard (IHS) for vehicles, governments. While cargo from high- good enough because “they are which stipulates how cargo must risk countries must be treated in-line neither consistent nor effective”. be shipped. There are strong with biosecurity requirements before “We ensure all cargo we’re suspicions BMSBs have hitched loading, the company says cargo loading is in accordance with the rides from these two countries. from neighbouring jurisdictions Simon White, WWO’s head of commercial regulations, and go over and above Thailand, a major exporter of – some of which are known stink- that,” he adds. new vehicles to New Zealand, and pathways from factory to ship. bug sources – aren’t covered by “The fact stink bugs are still neighbouring Malaysia, where stink WWO insists it’s committed regulation. being found on cargo when it bugs are endemic, are also absent to doing all it can to protect New It says criteria for classifying a arrives in New Zealand is a serious from schedule three. Zealand’s and Australia’s borders country “high risk” have yet to be sign the regulations, as they stand, The 16 countries on that IHS from biosecurity threats, and defined by the MPI and DAWR, aren’t fully effective. In that sense, list are Austria, Bulgaria, France, works “diligently” with the MPI and and they have failed to align more countries should be included Georgia, Germany, Greece, DAWR to encourage “consistent themselves on what countries in the regulation.” Hungary, Italy, Liechtenstein, and effective regulation” to limit are high risk and on acceptable White singles out Europe, which Romania, Russia, Serbia, Slovenia, BMSBs spreading. treatment methods. he describes as one land mass, as Spain, Switzerland and the US. “Regrettably, the current WWO also believes the a serious example. “Not to trivialise The tightest rules for vehicles regulations pose a risk to the implementation of current rules it, but stink bugs do not reflect or in place are for those from Japan. agricultural industry while delaying is inconsistent between different respect borders.” All used imports must be heat- cargo essential to many sectors of transport modes. For example, if The WWO’s concerns follow treated prior to loading, while new the economy,” says White. live or dead BMSBs are detected those of the Motor Industry vehicles must follow MPI-approved “We appeal to the MPI and on a roll-on roll-off, the entire Directors quit board
hree directors of the year. I’m looking forward to NZTA’s board have working with new directors and an independent choice resigned less than two senior leaders to meet these monthsT after chief executive challenges.” Fergus Gammie’s departure. The agency’s board members Quest Insurance offers: Dame Fran Wilde, deputy are appointed by the Minister of chairman, was due to leave at Transport, but Phil Twyford has Mechanical Breakdown Insurance the end of January, while board no official role in departures. “It’s – backed by AA Roadside Assist members Adrienne Young- understandable there may be Comprehensive Motor Vehicle Insurance Cooper and Chris Ellis left some board movements during – including learner and restricted license cover. unannounced last month. this period,” he says. Weekly, fortnightly & monthly instalment options now The agency is under Meanwhile, the agency has available to match your customers pay cycle review about its enforcement of extended the expiry date for transport regulations, including vouchers provided to owners of Guaranteed Asset Protection around 20,000 vehicles needing vehicles inspected by suspended Lifestyle Protection Insurance warrants of fitness (WOF) retests. WOF providers to March 31. In turn, the Ministry of Steve Haszard, managing Transport is having its handling partner at Meredith Connell, of the NZTA reviewed. which is leading the NZTA “There has been significant review, says: “All owners have change in recent months, a responsibility to ensure their and – as a consequence – vehicles are up to WOF standard If you are a forward thinking motor vehicle trader, or financier, this is leading to board and on the road. looking for a trusted vehicle insurance partner, call Quest. senior management changes,” “We can’t legally compel says Michael Stiassny, board owners to get them rechecked, Contact: Simon Moore chairman. but it’s important they ph. 021 149 2266 “Some significant decisions understand they may not have e: [email protected] and actions are ahead this been properly inspected.”
4 www.autofile.co.nz news
treatment was needed before t vessel is subject to scrutiny. has to discharge its cargo in an Vessels’ movements permission was granted to offload White says this often leads alternative port for treatment and WWO’s Carmen, pictured, first all cargo. to delays of days or even weeks then return, we’re talking about arrived in Auckland on November When biosecurity threats are while their detection in a shipping multi-millions of dollars.” 28 and finally left for Noumea on found, Biosecurity NZ monitors container is generally limited to that Shipping companies are January 21. The Morning Lynn left the controlled discharge of vessels single unit, and air freight doesn’t responsible for presenting clean for Brisbane on January 3 after when they return. The MPI says receive the same level of scrutiny cargo, but it’s up to customers to initially getting to Auckland on verification approaches to ensure despite reported cases of infestation. ensure regulations put in place by December 29. vehicles are not contaminated The DAWR has suggested the MPI are adhered to, and provide There were vehicles on-board include heat treatment, checks carriers refuse untreated cargo from documentation and proof of that. both vessels, which loaded in by detector dogs, use of agitation countries not classified high risk “Responsibility goes across the Europe and the US, and sailed spray insecticide and intensive rather than expanding regulation, board for shipments on our vessels,” via the Panama Canal. Off-shore inspection by officers. but WWO says this would create an explains White. “Cargo has to be untenable situation with carriers presented free of contamination required to adopt practices out of and any bugs. We ensure all loading step with legislation. is done in accordance in the The company has backed the regulations. And we go above that.” Freight & Trade Alliance, which Damien O’Connor, the is calling for an independent Minister for Biosecurity, says the highest standards of biosecurity, prohibited from discharging in investigation, and is encouraging government is taking action. informs customers about regulations November and December, which its customers to lobby the “I’ve asked Biosecurity NZ to and only accepts cargo certified as resulted in a need to fumigate authorities directly or through take a fresh look at facilities where treated. It also monitors cargo and outside Australia and New Zealand. industry associations. Subjects containers of imported goods are reports findings of suspected bugs. “BMSB is an industry-wide should cover increasing the emptied and checked for risks,” “This season, group companies problem. Wallenius Wilhelmsen, alignment of BMSB risk areas, he adds. “I have also asked it to have had instances of bugs on- with other shipping companies treatment windows and seasons. investigate new ways of dealing board. In most cases, fogging and importers, is working with WWO wants the MPI and DAWR with the increasing threat posed by and follow-up in-line with official authorities to enhance biosecurity to allow the development and use the BMSB and other emerging risks. instructions has been sufficient. through more robust regulation of near-shore or on-shore treatment “We must ensure the biosecurity “However, three vessels were and consistent enforcement.” solutions – while they control the risk is as far off-shore as possible. We rules for shipping cargo, they “don’t will work with industry to make sure take accountability or provide every part of the system is bolstered support if they aren’t effective”. so it’s agile enough to deal with new “As long as shippers have threats as they emerge. complied with MPI and DAWR rules, “We’re doing this after a stink and there are still insects detected bug was found in Tauranga late A wide range on arrival in Australian and New last year. There are 29 transitional Zealand waters, the authorities facilities handling imports within two should establish options for remedial kilometres of where it was found. treatment on arrival,” says White. “These facilities are dotted of quality He also wants increased around ports and airports, and are engagement with exporters a key component of New Zealand’s and importers by the regulators biosecurity infrastructure. vehicles analysing supply chains to ensure “They are on the front-line for BMSBs and other pests don’t keeping out unwanted pests that contaminate cargo in the first place, could destroy our crops, cost our including an import questionnaire economy billions of dollars. We will and screening at the start of the do what it takes to keep pests like cargo’s life cycle “as opposed to the BMSB from establishing here.” three days before vessel arrival”. Wallenius Wilhelmsen, WWO’s In addition, WWO is calling for parent company, highlighted BMSB lobbying to introduce “consistent issues in mid-December after its regulations and application of Australasian services were disrupted. regulations across all vessel types “To prevent transfer of the bug, and transport modes”. import restrictions are in place The stink-bug crisis cost WWO between September 1 and April ALL INCLUSIVE GST INVOICE IN $NZ AVAILABLE about NZ$4.2 million in the fourth 30, and surveillance activities quarter of the past financial year. are increased to monitor vessels “That was the net magnitude of arriving from the US, Japan and the impact to us. Each vessel delayed certain European countries,” it says. autoportalauctions.com CREW with PASSION runs into hundreds of thousands “Wallenius Wilhelmsen is NZ office - contact Tada: 09-571-2063 or 0800-428-2728 of dollars. If a ship is turned away, committed to maintaining the autoportalauctions.com NZ office - contact Tada: 09-571-2063 or 0800-428-2728
www.autofile.co.nz 5 news Industry against scrapping ratings
our organisations in the people better up-front information.” young or poorer people unfairly motor-vehicle industry He has given no indication what pay more in ACC vehicle levies have criticised the decision that may be, while the VRR has because they are more likely to Fto scrap vehicle risk-ratings (VRR) been “challenging to administer”. drive older and unsafe cars. with some calling for a system to While it may be “challenging” “But safe cars do exist in lower replace it with something else at for the government to run, the price brackets,” he stresses. “In point of sale. system proved problematic to get fact, the NZTA was promoting the The government plans to scrap up and running in the first place. high safety rating of cars around the programme, which applies ACC experienced so many the $5,000 mark at the Trafinz four different bands of ACC levies issues setting up the VRR a Conference in November. to passenger vehicles based on few years ago that it formed a “The government noted safety ratings, on July 1. “motor-vehicle expert group” there was no evidence the VRR The scheme was introduced to help. The AA, Motor Industry influenced purchasing decisions. under National, but Iain Lees- Association (MIA), Motor Trade However, this information will Galloway, Minister for ACC, claims Association (MTA) and VIA (the Iain Lees-Galloway says the government only influence people if they are there’s no evidence levies based on Imported Motor Vehicle Industry will invest $4.3 billion over three years in aware of it. programmes aimed at “saving lives on the road” VRR contribute to injury prevention Association) were its members. “As with many government or encourage the purchase of cars Their representatives met decision. Questions are being programmes, there was with higher ratings. with ACC on dozens of occasions. asked what will replace VRR or inadequate explanation and “It also loads burden onto low- Problems included cars being put what the government will now do education for the public about income people and families as they in the wrong risk-rating groups, so to promote safer vehicles. what the risk ratings were, how are generally less able to buy cars they worked with officials to get The MTA and AA have they were calculated and how to with the best safety ratings,” he says. them right. suggested action to promote use them to inform decisions.” “It hasn’t been fit for purpose. We The AA, MIA, MTA and VIA are purchasing decisions based on An Ignite Research survey can use it in a better way by giving all disappointed by Galloway’s safety at point of sale, while the conducted for the MTA shows 85 MIA favours tackling the difference per cent of people have no idea in import standards for new and what their car’s safety rating is and used vehicles. only 12 per cent are aware of VRR. Greig Epps, the MTA’s advocacy “The reality is occupants of and strategy manager, believes unsafe cars are more likely to be education and awareness have been lacking in the government’s approach to car safety. Vehicles’ levy bands “Displaying the VRR or some ACC determines how safe each safety rating on consumer car in the fleet is for the vehicle A better deal for the information notices would be risk-ratings system. a good start,” he told Autofile. Firstly, it takes real-world crash “The decision to scrap VRR was data using the total secondary Motor Vehicle Trade made before policy conversations safety index. This scores each have even developed possible vehicle on how well it protects nFlexible credit facility available to fund replacement ideas. passengers and other people in a crash. It removes other factors vehicles in transit or on your yard “We’re disappointed as this decision has been made without such as alcohol, age and adverse nAccess to stock when you want to buy, any indication of what will replace weather for accurate results. not only when you have the available cash the VRR as a widely available If there’s insufficient data, indicator of safety. recent NCAP stars are used. A car nFree up your capital and grow “Our question is what purpose only gets an NCAP rating when your business it comes on the market and it’s did ACC want the VRR to serve? It not updated annually. This is why n has determined it wasn’t adequate Only available to registered ACC only looks at NCAP ratings if for calculating funding needs. motor vehicle traders they’re less than six years old. Then there’s the broader issue if If there’s still insufficient the VRR should have served to information, market groupings raise vehicle-safety awareness and are used based on similar vehicle if it was effective at that.” type, size and specifications. If Epps highlights the a car fits into none of these, the government using “equity” as a Ph: 09 320 5646 default rating is based on the reason for scrapping the system Contact us now to find out more www.autobridge.co.nz year of first registration. by claiming predominantly
6 www.autofile.co.nz news
t injured in accidents,” adds Epps. government has claimed ACC “The VRR attempted to impose an levies aren’t increasing for Kiwis, incentive for buyers to seek out this isn’t the case for car owners. the safest cars they could afford. “As a result of scrapping VRR, “The key question is whether the annual motor-vehicle levy replacement information and for 65 per cent of owners will education schemes will be more increase. Levies for 38 per cent of effective at informing people cars in the safest band will rise by about those risks. Hopefully, $28 – more than double the ACC consultation on the draft revision levy paid at the moment.” of Safer Journeys in April will raise David Vinsen, VIA’s chief awareness of vehicle safety.” executive, describes the industry The AA describes scrapping the group’s involvement in setting up VRR scheme as a backward step VRR as “quite a significant piece with the road toll rising – there of work”. 382 fatalities last year, the worst Developing VRR for new The Provident since 384 in 2009. vehicles was easier to achieve Mark Stockdale, because they were principal adviser – based on “NCAP regulations, says: “There was ratings systems – Promise “Improving the NCAP, JNCAP and fleet’s safety is key ANCAP”, but it was inadequate We don’t make promises we can’t keep. to improving road more complex for This is ours to you. To remain true to our values of safety. explanation used vehicles as passion, integrity, competence and commitment. “This is why for the they were based on For the hundreds of dealer businesses that we already the AA wants the Monash University work with, you’ll know that Provident accountability government to public about ratings, he says. goes beyond just doing what is acceptable. Things aren’t mandate the display what risk Although a lot of of safety ratings at time and money went always black and white but you can rely on us to do what’s the point of sale – ratings were” into working with right, for your customers and your business. – Greig Epps something VRR could ACC to develop the Our team listen, review, focus to make sure that have been used for. VRR system, when Provident products and services meet your business “While this system has only it was translated into variations needs now, and for the road ahead. Provident products been in place for a few years, it on ACC’s premium component and services are constantly reviewed to ensure that was a way to incentivise New for relicensing fees the difference they are meeting the changing needs of the market. Zealanders to make safer choices between risk bands was “only And because we’re 100% NZ owned and driven, we can when purchasing cars. marginal”. Even though the idea adapt and adjust accordingly. “Vehicle risk-rating helps was a good one, “in practice educate motorists that not all the results weren’t necessarily You can be confident that we keep you at the centre of cars are equal in safety. Some old effective”. all that we do; through tailored support designed around vehicles worth just a few thousand Vinsen cites an example of your specific business needs, nimble thinking, and a dollars are rated band three or someone buying two cheap, commitment to our long term partnership with you. four – the safest – while some late- older cars of the same age and Being 100% NZ owned and NZ driven, I believe, gives model cars rate poorly.” size with similar safety features us the edge; we know NZ drivers and what they need Stockdale adds the annual only for them to put into differing to protect their investment on the road. We also licence renewal serves as a fee bands. understand this market and we listen to your feedback reminder and may promote “The intention of this system and work hard to deliver what you tell us is important thinking about relative ratings. was to provide pricing signals to you and your customers. It’s what we promise to “In the long run, the AA believes for people to buy safer vehicles, help keep driving your business forward. vehicle risk-rating will help change but differences between bands purchase behaviour, and influence were so small they were almost You have my word on it. the safety standard of vehicles irrelevant. “It’s disappointing risk imported and sold by dealers.” ratings aren’t going to become a Steve Owens, With the VRR’s imminent standard safety system for used CEO Provident Insurance, NEW ZEALAND. demise, average motor-vehicle vehicles, but the results have levies, which include the annual almost been immaterial.” licence and petrol levies, are set to When the government remain at $113.94 for the next two suggested getting rid of VRR, years, and average work levies will there were mixed views from MIA drop from 72c to 67c per $100 of members on the benefits versus liable earnings. the cost of maintaining the system. The AA says while the “Some members wanted it
[continued on page 8] www.autofile.co.nz 7 news
[continued from page 7] kept, others didn’t believe the cost warranted retaining it,” David Crawford, chief executive officer, told Autofile. “Overall, we think it should continue with work needed to get it right because it’s causing more problems with new cars than used imports. There are some fish hooks that don’t work and are sending out the wrong signals.” This is particularly the case when a total secondary safety index (TSSI) rating has been vastly different to ANCAP’s. The TSSI has been designed by NCAP stars are used in vehicle risk-ratings Monash University, Melbourne. It uses information on how well As for the bigger picture with Passenger vehicle risk-rating – current ACC levies a vehicle protects occupants in safety, the MIA is interested in Band Number of cars Petrol levy Non-petrol levy an accident with data reverse- policies to reduce the road toll 1 610,000 $80.64 $149.14 engineered from actual crashes with vehicle standards at import. 2 610,000 $53.53 $122.03 based on Australian data. “We prefer to advocate what 3 930,000 $37.22 $105.72 “In principle, we see the VRR we believe are sensible policies 4 1,860,000 $18.00 $86.50 Source: ACC. Hybrids, electric cars and plug-in hybrids come under petrol. as a good idea and – with some applying as they come into the refinement – the system can be fleet, and what the government made better,” says Crawford. can do to ensure new entrants used vehicles currently imported The MIA believes there’s He points out the new ACC to it are better when it comes and means 14 to 16-year-old cars already a huge gulf in the fixed fee will be equivalent to the to in-vehicle safety and the are still entering our fleet. difference between entry current fee for VRR band three. environment. “It doesn’t make any sense standards for new and used. Presently, 46 per cent of cars are “For example, the MIA views allowing vehicles from the May “Rules for used imports are band four, the highest safety the electronic stability control 2004-06 model years to come soft and need updating in the rating, and 23 per cent are in [ESC] rule for used imports as an in and begs the question why interests of the public,” says band three. Only 16 per cent are abomination. three-generation-old technology Crawford. “New Zealand needs to rated band two and 15 per cent “It results in February 2020 continues to be allowed in. manage its fleet to ensure what are in the lowest band one. as the last month for MA-class “By doing so, there’s no way enters it isn’t sub-standard. “If VRR is scrapped, nearly half vehicles – those with engines the government can control “If the new-vehicle industry of motorists will end up paying of less than two litres – being or improve the fleet and that started bringing in cars that were higher ACC licence levies than allowed into New Zealand with includes its safety. The ESC rule Euro 4 emissions or ANCAP two they currently do, which will be ESC fitted and working. This simply allows really old junk in and three-star rated, it would be unpopular.” amounts to about 70 per cent of through the back door.” crucified.”
FROM JAPAN TO NEW ZEALAND ON TIME, EVERY TIME
TOYOFUJI SHIPPING SCHEDULE JAPAN NEW ZEALAND Voyage Toyofuji vessels Moji Osaka Nagoya Yokohama Auckland Lyttelton Wellington Nelson Trans Future 6 110 ― 21 Jan 23 Jan 26 Jan 14 Feb 16 Feb 18 Feb 18 Feb
Trans Future 7 110 ― 4 Feb 5 Feb 9 Feb 28 Feb 2 Mar 4 Mar 4 Mar
Trans Future 5 114 ― 18 Feb 19 Feb 23 Feb 14 Mar 16 Mar 18 Mar 18 Mar
Trans Future 6 111 ― 4 Mar 5 Mar 9 Mar 28 Mar 30 Mar 1 Apr 1 Apr
Contact: Blain Paterson ph 09 358 5515 www.toyofujinz.co.nz
8 www.autofile.co.nz Driving great partnerships for over 30 years
Talk to us today about how we can add value to your business.
Your Motor Insurance PARTNER www.protecta.co.nz | [email protected] | 0800 776 832
www.autofile.co.nz 9 news Market drop-off flagged up t warning has been “We saw improvement in at – or close to – scrapping age, so sounded that the conditions in quarter two after a hundreds of thousands will need slowdown in the challenging first quarter. Diversified replacing over the next decade. Aautomotive market may lead to revenue streams are demonstrating Compared to the new-vehicle industry consolidation. value with a strong performance sector, used cars tend to be less Turners Automotive Group from the insurance business discretionary with a fragmented reports it’s seeing the demand offsetting headwinds in retail.” market meaning no one dealer has and supply sides of vehicle retail The Turners Group delivered more than a 10 per cent share. cooling off. an improved year-on-year result in “Most Kiwis are in the market for It says the number of used the first half of 2018/19. Damaged- a vehicle under $10,000 and more imports coming in is down and vehicle revenue rose by nine per than 80 per cent of buyers will landing costs have increased due cent off the back of deals to sell purchase a vehicle under $20,000. to stricter stink-bug controls, write-offs while fixed-price sales This is the range we mostly play in,” which are impacting margins, increased. says Baker. while demand in the competitive Buy Right Cars had lower- “More than 80 per “While most customers still prefer Auckland market has weakened than-expected results due to to come in store to buy, pre-purchase with pressures from higher living gross margins dropping by 20 per cent of buyers will investigation is done online. How and fuel costs. cent per unit, clearing old stock purchase a vehicle we engage with them is becoming “Challenging conditions will and volumes. Its focus is now on under $20,000. more important. Our retail network is inevitably lead to consolidation “increasing the proportion of NZ- expanding and we’re gaining market in the dealer market, which will new cars sold versus imports for This is the value share, and our loan portfolio is provide Turners with opportunity higher margins and quicker turn”. range we mostly transitioning towards better quality as we focus on building market “Most of the headwinds have play in” – Grant Baker and lower risk lending.” share,” the company’s interim been felt by Buy Right Cars due to Oxford Finance’s network of report of January 9 states. the high proportion of used imports dealers grew with 120 dealers it sells and its presence in Auckland, coming on-board in the first half which has been particularly while Autosure improved its loss impacted by market conditions,” ratios on all products. says chairman Grant Baker. The group’s net profit before The company says the used- tax (NPBT) rose by 18 per cent to car market offers “significant $16.8m during the half-year. It opportunities” with last year warns if challenges in automotive delivering record transactions. retail continue, they could impact “While the first half of this year isn’t NPBT guidance of $34-$36m by up Specialists in as high, it’s in line with the first half to 10 per cent. pre‑shipment inspections of 2017, which was a record year.” It adds New Zealand’s fleet of DEALER FINANCE DOWN in Japan & UK about four million light vehicles is MTF Finance’s franchise network ageing. More than 20 per cent are was its strongest performer last Full border inspections
Authorised MPI inspections Authorised NZTA inspections Vehicle lending boost Odometer verification Car loans played a big part in UDC executive Wayne Percival. “The Finance’s record net profit of $65.3 economy has continued to be Pre-export appraisal million for the past financial year strong. Despite slowing growth in – up six per cent on the previous automotive and reported lower Vehicle history reports period. business confidence, UDC has had A key contributor was strong a positive result.” lending growth, which rose by This financial year, the company 11 per cent to $3.22 billion, while will focus on the high-demand vehicle loans jumped by $217m or road transport and construction 18 per cent. Revenue was up by 10 sectors, particularly in Auckland. per cent to $136.5 million. The results follow owner ANZ JEVIC NZ “This strong result reflects loan calling off UDC’s sharemarket float growth, attention to credit quality or sale, which had been proposed 09 966 1779 www.jevic.co.nz and cost management,” says chief in 2018.
10 www.autofile.co.nz news
t year with sales up by 10 per cent franchisees”, with the company with initiatives to widen the scope noting, in recent years, it had given of growth about to start. up ground in the dealer market An arrangement with Trade Me “due to competitors rushing to the Motors to promote MTF through lowest rate”. private-vehicle listings has been “Our offering to dealers of a piloted in Canterbury, for example. recourse-based lending facility However, late last year Turners – where they get to make the Finance began migrating away lending decision and keep the from the company as it continued customer while earning superior integrating the business into its risk-based returns – is still relevant. automotive group. We will retarget dealers who This, along with a drop in understand the opportunity and non-recourse volumes, means Stephen Higgs, chairman of MTF Glen Todd, chief executive officer show a willingness to work with us.” MTF is forecasting no further asset One issue highlighted as growth for the current period, cent to $8.3m. Sales rose by 5.5 per Stephen Higgs and chief executive affecting the market is the although a customer-focused cent. After a record 2017, last year’s officer Glen Todd. government intending to approach – coupled with a model first half continued strongly. But “In addition, we have begun a significantly change the Credit targeting growth opportunities – demand for non-recourse product digital-media campaign aimed at Contracts and Consumer Finance will service demand. dropped after tighter underwriting attracting customers in the buying Act. While primarily aimed at MTF reported profit before criteria was introduced to improve cycle to our franchisees. pay-day lenders and truck shops, commission and fair-value credit quality. “In our traditional dealer this will impact the way finance movement of $52.4m, up by 7.4 per “Future success depends market, finance for new and used providers work and likely require cent on 2017/18 with asset growth on doing things smarter than vehicles has declined slightly. costly implementation. flowing into net interest margin. competitors to deliver originators a Research carried out mid-year has “We’re optimistic the changes Commission to shareholder superior service, develop products provided insights into where we will give the industry much- originators increased by six per that satisfy their customers’ needs need to focus efforts.” needed clarity and provide an cent to $39.9m, while underlying and generate a competitive return MTF’s system continues to even playing field for compliance profit after tax rose by 14.2 per to shareholders,” say chairman deliver “outstanding results to requirements.”
Motor Vehicle Finance Auckland Easy finance for your customers means 0800 88 44 66 more sales for you! Levin 0800 263 264 At Oxford, we offer quality finance packages for motor vehicles to both private and business customers. We’ll ensure Christchurch your customers’ financial needs are met, so you can get on 0800 735 562 with doing what you do best.
For more information and personal service, get in touch with oxfordfinance.co.nz us today.
www.autofile.co.nz 11 news
In brief Legal action over Industry says bid to reduce emissions ‘unrealistic’ An EU agreement to cut emissions by more than one-third by 2030 has waivers and ads been opposed by the automotive industry as “unrealistic”. Member states will aim to reduce carbon-dioxide emissions from new he Commerce Commission other warranty, and they don’t lose cars by 37.5 per cent and vans by 31 per cent by 2030 compared with 2021. has brought 10 charges CGA protections by declining to There’s also an interim target of a 15 per cent for cars and vans by 2025. against a motor-vehicle buy an extended warranty. But the European Automobile Manufacturers’ Association says the dealerT for alleged breaches of the Remedies must be done targets have a “seismic impact” on industry jobs. Fair Trading Act (FTA). within a “reasonable time”, not The agreement, which aims to spur the move towards electric vehicles 2 Cheap Cars is facing the legal at the supplier’s convenience, (EVs) and other alternatives to diesel and petrol, has been described by action over its use of “warranty and consumers can recover costs EU policymakers as a compromise between green concerns and countries waiver” documents, as well “must reasonably foreseeable as a result with big car industries. liquidate” and “84 per cent off” of the failure. These may include car Europe is aiming for the transport industry to be climate neutral in the advertising claims. rental while repairs are completed. second half of the century, but EV take-up in many parts of the continent The commission’s action follows The CGA applies to all goods has been slow with political pressure to keep the cost of motoring low an investigation it launched in purchased, which in this case spilling into protests across France. November 2017 after receiving includes tyres and batteries. complaints from consumers. 2 Cheap Cars stopped using ‘Game-changer’ in market scoops prestigious title And the maximum fine for each the warranty waivers in December The Genesis G70 is the FTA charge is $600,000 after it 2017 after being told about the 2019 North American Car increased from $200,000 in 2014. commission’s investigation. of the Year. In receiving One charge comes under the lower While CGA breaches are enforced the award, it’s the amount, Autofile by consumers going youngest brand to have has established. to the Motor Vehicle done so after being spun 2 Cheap Cars Disputes Tribunal, off by Hyundai about three years ago. will now be quizzed it’s a breach of the The judges describe the G70, pictured, as a game-changer for the about its conduct FTA to mislead sedan market. The award is bestowed annually on the car that hits in regards to more buyers about benchmarks based on innovation, design, safety, handling, driver than 20,000 warrant their CGA rights. satisfaction and value for money. waivers between That’s when the This year’s other finalists were the all-electric Jaguar I-Pace, Acura RDX January 1, 2014, and December 31, commission gets involved. and Hyundai’s Kona. 2017. Over that period, it is alleged The company has also been the company asked buyers to sign charged for its advertising of sales Testing company gets funding for battery test one if they chose not to purchase on September 30 and October VTNZ has obtained a $26,000 grant from the low-emission vehicles an extended warranty. 1, 2017. Its statements included contestable fund to develop a reliable and affordable method of The “waiver” included terms “2 Cheap Cars is in hot water, it testing EV batteries. such as, “the vehicle doesn’t must liquidate immediately” and It will use the money to develop a battery condition, and charging include a warranty of any kind”, “massive price drop this weekend”. infrastructure performance and safety, test. “[if] you choose not to purchase The commission claims this was Country manager Greg O’Connor says: “A reliable assessment service the indicated warranty, you must misleading for suggesting many will accelerate uptake, and give buyers of second-hand EVs confidence in sign this waiver” and “I understand vehicles would be significantly battery condition, life expectancy, charging ability and safety.” 2 Cheap Cars will comply with the discounted and there would be Consumer Guarantees Act [CGA]”. no more chances to buy from Association member rewarded for his service Others were, “I also understand the company as it was going into Dick Mitchell, a long-time member of the Whanganui branch of the I am, and would prefer to be, solely liquidation. Motor Trade Association (MTA), was awarded the Queen’s Service Medal responsible for any repair bills”, Most of the 710 vehicles for sale in the new year honours list. “if repairs are carried out they will nationwide weren’t discounted or A member since 1972, he was president from 1991-97 and an be done by 2 Cheap Cars at their had discounts of as little as $5. executive committee member from 1997 to 2003. Mitchell, who was convenience and no courtesy cars In January 2017, 2 Cheap Cars’ honoured for services to the community and music, helped organise the provided”, and “consumable items, newspaper adverts included the annual MTA Whanganui golf tournament. He also maintains and replaces such as but not limited to tyres phrase “84 per cent off”. It’s alleged Whanganui Tramping Club’s vehicles. and batteries, are not covered by this was misleading because – the CGA”. together with “massive stock Input sought into new applications for mergers The commission alleges the liquidation: this weekend only” – it The Commerce Commission has released updated draft guidance for waiver documents misrepresented gave the impression the discount investigating merger clearance applications and non-notified mergers people’s rights under the CGA was on vehicle prices. In fact, the under the Commerce Act. because buyers have rights of discount was off the cost of a $300 It has also released an updated clearance application form. Copies can be remedy against suppliers whether GrabOne voucher to use towards found online at www.comcom.govt.nz. Submissions close on February 28. or not goods are covered by any buying a vehicle.
12 www.autofile.co.nz SHIFTYOUR MARKETING INTO TOP GEAR!
CREATIVE SERVICES
ANALYTICS CONSULTING MEDIA PLANNING & REPORTING & BUYING Shift your marketing into ADTORQUE top gear with AdTorque Edge’s NEW innovative CALL ATTRIBUTION automotive WEBSITE DESIGN & MODELING marketing & DEVELOPMENT solutions
REPUTATION MANAGEMENT DIGITAL & DATABASE MARKETING ADVERTISING
LET’S HAVE A CHAT 09 884 4699 adtorqueedge.com
ADTORQUE
EDGE www.autofile.co.nz 13 newslooking back The month that was... February
February 8, 1999 February 29, 2008 UK used import market collapses Fuel-economy generator live The bubble appeared to have burst for dealers An internet-based label generator went live on the tackling the tricky UK and Irish markets for used government’s Fuelsaver website in advance of the imports. requirement for all motor-vehicle traders to display Kiwi dealers said the markets there had fuel-economy labels on cars for sale from April 2008. virtually collapsed, which would have positive Dealers were required to display labels clearly benefits on local sales. and prominently so they could be read from a Steve Ward, of Auckland’s Frontier Motors, who reasonable distance, stated the Energy Efficiency had been involved from the outset and was one Regulations 2007. of the best-positioned to take advantage of the opportunities there, Traders also had to ensure fuel-economy information was displayed on said the Irish market was oversupplied with stock and there were too many light vehicles of less than 3.5 tonnes offered for sale online. dealers chasing too few deals. The Energy and Efficiency Conservation Authority already had an He added local new-vehicle distributors had woken up to the threat of online service that allowed website owners to automatically obtain cheap imports and had started to reduce prices. necessary data from Fuelsaver. Many website owners were already using There were as many new cars sold in the UK as in Japan, but with half this service to update their sites. the population, Ward claimed. This meant there was no shortage of used If the label was missing, or fuel-economy information wasn’t on a vehicles in the UK, but they were overpriced. This had, until now, given website listing, dealers could be fined up to $5,000. imports the edge. But with new prices reducing, trade-in values were coming down too, February 9, 1998 narrowing the margin between UK-new and used imports. In addition, some finance companies were refusing to finance imports Industry heavyweights consider plan making it more difficult for buyers wanting to cash in on the cheaper Members of the national executive of the Motor import deals. Vehicle Dealers’ Institute (MVDI) were considering a plan being proposed by MP Harry Duynhoven, February 3, 1997 which was aimed at putting an end to the long- running controversy of odometer clocking. New car prices continue to tumble The plan – the Vehicle Authentication Service Mitsubishi’s January move to cut new-vehicle (VAS) – called for three offices to be set up in Japan prices was the latest salvo in ongoing price wars. It to check odometers before cars were exported to New Zealand. had joined Toyota and Honda, which had recently As Autofile went to press, Duynhoven was meeting with the chief dropped their prices. executive of the Imported Motor Vehicle Dealers’ Association to suggest However, Autofile research showed each of the that it should help fund the scheme. The same request would be made of marques, which made up 79 per cent of the new- the Motor Industry Association. vehicle market, had dropped the cost of at least one The MVDI’s legal adviser, Michael Reed QC, had previously told model in the past year. Duynhoven the idea of such an agency as the VAS was not new and Mitsubishi said it had adjusted pricing to pass on to consumers the similar proposals had been around for more than three years. effects of the high level of the kiwi to the yen. Prices were up to $5,000 The MVDI and Duynhoven had agreed to issue a joint statement on the lower, but $11,000 had been stripped from the Lancer GTi sedan. matter, but the next day the institute changed its mind. The marque said the new pricing put cars at their lowest level for two About 50 car dealers had already given the MP a mandate to take decades, compared to the average income. There were 36 franchises the VAS proposal to their national executive and many had expressed chasing static sales, with more than 530 models available in one of the dissatisfaction with the way the MVDI had handled the clocking issue. smallest OECD markets. Despite all of the jostling for position, Duynhoven remained positive: Grant Simpson, at Newmarket’s Kirk Motors, reported increased enquiry “I’m confident the MVDI will see the sense in the plan being proposed and from people at the dealership to phone calls about the product. will flesh out the details in order to bring this to reality.”
ON THE MOVE OR IN YOUR OFFICE, WE BRING YOU THE LATEST IN AUTOMOTIVE NEWS
THE TRUSTED VOICE OF THE INDUSTRY FOR MORE THAN 30 YEARS WWW.AUTOFILE.CO.NZ
14 www.autofile.co.nz new cars
t Shape of vehicles to come
ut of the Japanese comprising of Skyactiv-X, G and D hatchback customer is non-suit.” Toyota, we have two concepts of marques exhibiting at the engines. However, this design philosophy. We should maintain Los Angeles Motor Show, Mazda has pursued different philosophy will not be rolled out independence of brand and MazdaO made one of the biggest designs for the hatchback and across other models with two body management. When we can impressions for what it plans to do sedan to appeal to a broader buyer styles, such as the next-generation collaborate, we should do so and – and not. base than the outgoing model. Mazda2 and Mazda6. have a win-win relationship.” It chose the event for the The fourth-generation sedan The Mazda3 hatch boasts a bold He added he wouldn’t consider premiere of its all-new Mazda3 and is pitched at more conservative rear design with a large C-pillar, a partnership to fully co-develop to announce that it will use rotary- buyers who prefer a traditional sloping roofline, rounded tail and an iconic model, such as the MX-5. engine technology for a range- shape, while the hatchback heads circular tail-lights that will become “However, we are progressing extender powertrain. down a sportier track. a brand signature. The sedan’s co-operation with companies However, the manufacturer has Yasutake Tsuchida, chief boot is more prominent than the other than Toyota for some regions no intention of following some of designer of the Mazda3, said the previous model and has a more or projects,” said Marumoto. “In its rivals by forming permanent company adopted the strategy traditional C-pillar. Japan’s micro-car business, we alliances with other brands. despite receiving no customer Tsuchida said Mazda went for a have a partnership with Suzuki. For The redesigned Mazda3, feedback on the issue. sporty look for the hatch to try to the next-generation pick-up truck, pictured above, will be rolled out “When we talk about clothes, stand apart from the influx of small we will tie up with Isuzu.” globally starting in North America the sedan customer would SUVs impacting on small hatchback early next year with its line-up prefer the business suit and the sales globally. INTEGRATING FUTURE The marque is yet to start work BMW staged world premieres in on a production rotary sports car the city of angels for three models to continue the legacy of its RX-7 and provided a vision of the future. and RX-8 despite developing such The marque says the X7 and 8 technology. Series convertible represent the Vehicles wanted It will use rotary engines with a next steps in its luxury-segment future range-extender powertrain, offensive, while the wraps come dealers Buying now but that’s slated for an electric car off the M340i xDrive sedan, or SUV. which boasts combined fuel Mazda is synonymous with consumption of 7.5l/100km and rotary power, and rumours have CO2 emissions of 172g/km. VEHICLES WANTED circulated for years it’s planning a But it was the Vision iNext that All Audi, Porsche, Jaguar, Land Rover and Volvo Models return to the mid-size rear-drive stole the spotlight. It’s the first time sports car segment. automated driving, connectivity, This reached fever pitch in 2015 electrification and services have with the RX-Vision concept being been integrated in a single vehicle.
Jeff Dacombe . 021 532 355 . jeff[email protected] shown in Tokyo, but the marque A production model based has played down an RX return on it will serve as a technological due to development costs and flagship with first examples rolling low volumes. The biggest issue is off the assembly line in 2021. LATE MODEL FORDS & MAZDAS WANTED making a business case that works. Adopting the proportions of When asked if Mazda would a BMW SUV, its grille is blanked consider partnering with other off and serves as an “intelligence companies to reduce costs – as panel” housing sensors. with the MX-5 and Fiat’s 124 Spider The iNEXT’s functional two-box – president Akira Marumoto was proportions and long roofline hint Call Jason Robb unconvinced, stressing the marque at ample space inside. Its short Ph 0274 133 222 would remain independent and overhangs and long wheelbase not forge permanent alliances. give it a dynamic edge. To advertise here, contact: While Mazda had strategic Two large opposing doors and partnerships with others, Marumoto no B-pillars ensure ease of access to [email protected] said it could survive on its own. the interior, which is a “fashionably or ph 021 455 775 “In terms of our alliance with furnished living space on wheels”.
16 www.autofile.co.nz new cars
t The inside has separation acquire capabilities continually between the driver’s area and rear thanks to updates from remote compartment with continuous software upgrades. seating giving the rear a lounge character. ‘CONCEPT’ OF car The cockpit has digital display Volvo devoted its stand in Los The all-electric Rivian R1T pick-up panels, a flat instrument panel and Angeles to its role in future mobility steering wheel. Elements assume rather than showing off new models. world’s biggest right-hand-drive torque vectoring so both models different states depending on the There were interactive displays market – so it may head down under can reach a top speed of 201kph. driving mode. illustrating its vision for vehicle if a business case can be made. The 135kWh version is the In boost mode, the steering connectivity, car sharing, in-vehicle While Tesla is developing a quickest by getting to 97kph in wheel and displays are positioned delivery, autonomous driving and pick-up based on its Semi, it could three seconds and onto 161kph in towards the driver. When ease subscription services. be years away from being realised less than seven. mode is on, the wheel retracts “Instead of taking a concept car, placing Rivian in pole position to The five-seat R1T and seven- slightly and the accelerator pulls we talk about the concept of a car,” be the first to deliver a battery- seat R1S ride on skateboard away to create more space. said Marten Levenstam, Volvo Cars’ electric ute globally. platforms, which package the The marque claims the iNext head of product strategy. The R1T and R1S start from about battery pack, electric motors, answers the question, “what does By the middle of the next NZ$102,500 and $108,000 before the thermal system, underbody a vehicle look like that no longer decade, Volvo predicts half of its US federal tax credit of $11,160. protection and suspension below needs to be driven by a person, but production volume will be electric The former comes with three its wheels. can be if desired”. vehicles and one-third autonomous. battery packs – 105kWh, 135kWh With hardware including Meanwhile, the X7’s engines “Our industry is changing,” and 180kWh – with ranges of cameras, lidar, radars, ultrasonic comprise of a petrol V8, six-cylinder added chief executive Håkan more than 370km, 483km and sensors and GPS with high-definition in-line petrol and two six-cylinder Samuelsson. “Rather than just 644km respectively. The R1S has maps, both models support level- in-line diesels. They are mated building and selling cars, we the same configurations, but adds three autonomy on roads. with an eight-speed steptronic will provide customers with the 16km of range. The R1T competes in the full- transmission and BMW’s xDrive freedom to move in a personal, Each version has four 147kW size segment dominated in the intelligent all-wheel-drive system. sustainable and safe way. We will electric motors to create an all- US by the Ford F-150, Chevrolet The SUV boasts two-axle offer them access to a vehicle, wheel-drive system with active Silverado and Ram 1500. air suspension and adaptive including services when and suspension with electronically wherever they want it.” controlled dampers. Volvo has already revealed an The 8 Series convertible has a all-electric driverless concept, the soft-top roof, which can be opened 360c, to showcase its ideas for an Vehicles wanted or closed automatically in 15 autonomous car suitable for inter- seconds at speeds of up to 50kph. city travel. The pod-like vehicle has Standard features include roll-over four seats for normal commuting, Volkswagen protection, wind deflector and but they can be converted into a neck warmers in the front head bed for overnight trips. restraints. Toyota The M340i xDrive sedan is ELECTRIC EXPANSION powered by a new six-cylinder Michigan-based electric-vehicle Mercedes Benz in-line engine with maximum start-up Rivian has revealed its output of 275kW and peak torque first model, the R1T pick-up, with of 500Nm. It makes the 0-100kph deliveries starting late next year. Its Nissan dash in 4.4 seconds. mechanically related SUV, the R1S, Its digital companion – due to will follow in early 2021. be rolled out across the marque’s The company plans to expand Skoda range – can be activated with the sales outside of North America, voice prompt “hey BMW” and helps setting a European launch for 2021. the driver to use functions. It will This roll-out will include the UK – the Lexus Kia We are always looking to purchase late model NZ New cars aNd commercials miles motor group Paul Curin 0274 333 303 [email protected] The BMW Vision iNext www.autofile.co.nz 17 EV focus Rebooting electric car batteries
he traction battery is the Leafs are among few EVs range when new. That’s repair and maintenance, so their heart of an electric vehicle that don’t have active still adequate for most bodies and other parts will far outlive (EV). The amount of energy “thermal management” regular trips around original batteries, if not several. It itT can store and then deliver to the of batteries. As they are town, but the key to would be a waste if we aren’t able to powertrain determines its range charged, they get hot. long-term cost savings is replace them when needed. and practicality, and greatly affects A combination of hot to run hybrids as much Mechanics will occasionally its resale value. temperatures and high as possible on their swap batteries rather like replacing Just as you have to charge your “state of charge” hastens traction batteries. the transmission on an ageing cellphone more as it gets older, so degradation. Henrik Moller, co-founder, The best system is combustion vehicle – one of the Flip The Fleet too the EV battery’s energy-holding The newer EV models Tesla’s, which has a liquid- big jobs to keep a car rolling. But capacity gradually fades. nearly all have a system of blowing cooling system to cool the battery first we need a guaranteed supply It’s no wonder the second most- air over the battery pack or passing when needed and warm it up in of replacement batteries. common reason why some people a cooling liquid past them. winter. The battery is maintained It’s fair to consider the Leaf’s still won’t consider buying an EV is The oldest of generation 1.1 at the optimum temperature for battery fade rate as a worst-case uncertainty about battery life – it’s 24kWh Leafs – built between energy efficiency and life. So far, Tesla scenario for our EVs because the only marginally less a deterrent late 2010 and late 2012 – are batteries have only dropped about model is an early example of than the higher purchase cost of now down to around 70 per cent one per cent capacity each year. rapidly improving chemistry and the car itself. battery capacity. They’re also In the longer run, the key to technology. Also, Nissan has yet to Provided New Zealand can get less efficient than later models, locking in green and financial make replacements available for a good battery service industry so they’re likely to be achieving benefits of EVs in New Zealand used imports. going, people need not be too 90km on a full charge in typical is to develop our own battery Rescue might come from concerned. Nissan Leaf batteries conditions. refurbishment, replacement and substituting non-Nissan batteries are most at risk, but even these Plug-in hybrid batteries disposal service industry. in their place, but this would are losing only about three per typically deliver a 45-50km We expect EVs to require little need careful management to cent capacity on average every meet quality and homologation year. That means they are lasting ENERGY-HOLDING CAPACITY challenges. Some relief may come better on average than Nissan’s 100 from transferring second-hand expectation of 20 per cent loss 40kWh battery packs into 30kWh
90 24kWh after five years. and 24kWh cars, especially if Last October, Flip The Fleet 80 G Nissan were to make the 40kWh asked EV owners whether and 60kWh packs available when 70 “securing an affordable supply of it starts selling new second- replacement batteries is the most 60 generation models here. serious need for sustaining EV 100 Flip The Fleet has been lobbying uptake in New Zealand”. our government to invest in the
90 30kWh Answers from 551 people battery service industry and extend cleaved into two main groups 80 G any feebates or similar EV subsidies – those driving Leafs or eNV200 to help cover the cost of replacing 70 vans agreed strongly, while those Reported state of health (per unit) or refurbishing them. It’s doubly driving other types of battery 60 important we gear up quickly to EVs were hardly worried about 0 2 4 6 8 reboot EVs with spent batteries, replacement or refurbishment. Age in years especially if we’re to rely on used Owners of plug-in hybrids were EV owners have formed Flip The Fleet to, among other issues, measure the rate of capacity fade imports to drive the EVolution. in batteries. Each month, they report on their state of health (SoH) – the percentage of original split – some were quite concerned, energy-holding capacity they can still hold. The graph includes all 4,715 SoH measurements up others not bothered. to January 2019 from 408 24kWh (upper) and 192 30kWh (lower) Leafs. Nissan’s estimate for Henrik Moller is a retired sustainability decline is 80 per cent SoH after five years and is shown by a red dot. The data for 30kWh models scientist. Additional research by Daniel Myall These results make good sense. accounts for the battery firmware upgrade released by Nissan NZ in August 2018. and Dima Ivanov. Visit www.flipthefleet.org
Live EV listings on Trade Me: New EV listings on Trade Me: EV watchlists on Trade Me: Top 5 EV models Average listing price listed on Trade Me last month: for the month: Eye on EVs +1.9% 89.4% -6.7% +63.1% +6.8% +29.1% • Nissan Leaf • BMW i3 $24.7k • Renault Zoe • Mitsubishi Compared to Compared to Compared to Compared to Compared to Compared to Outlander • Renault Kangoo last month prior year last month prior year last month prior year * Figures as per the end of January 2019
18 www.autofile.co.nz EV focus Beehive investigates zero emissions
he government wants to (DIA), 52 per cent are electric. plug-in to replace diesel-powered Shaw says: “Part of the problem change more of its fleet to Across the entire fleet – owned BMWs shuttling ministers around is New Zealand lacks strong greener vehicles over the and leased – 29 per cent are EVs. has found that while the vehicle incentives most other developed Tnext seven years. The DIA’s contract with BMW is a viable option to integrate into countries have to sell more fuel- It intends to transition its expires in October 2019, so later the crown fleet, it may not work as efficient and climate-friendly cars.” vehicles, including 32 in the BMW this year it and the Ministry a complete replacement. As for the bigger picture, there 7 Series, to emissions-free models of Business, Innovation and Alongside these limousines, were 11,748 EVs on Kiwi roads by by 2026. Employment “will return to the the VIP fleet includes 77 vehicles the end of last year – up by 89 per At the moment, 29 per cent market to replace the crown with almost one-third being fully cent compared to December 2017. of ministerial vehicles, including limousine fleet”, says a spokesman. electric or hybrids. They included 6,782 used crown and self-drive cars, are Chris Hipkins, the Minister James Shaw, Minister for imported and 2,005 new fully electric, up from two per cent by Responsible for Ministerial Climate Change, has already electric vehicles. There were this time in 2018. Services, believes EVs offer been looking into increasing the also 1,938 new and 896 used- The complete crown fleet environmental and financial number of EVs used by ministers imported plug-in hybrids, and is made up of owned and benefits. as part of a wider policy push 198 heavy EVs. leased 72 vehicles. There are 34 “The government is playing a to get more people to make the The previous National chauffeur-driven BMWs, seven leadership role,” he says. “It intends switch. government announced a target other chauffeur-driven cars, five to transition its full fleet, including Late last year, he indicated new of electrifying its fleet by 2021. vans and 26 ministerial self-drive the 32 BMW 7 Series vehicles, to initiatives to help speed up the But after the general election, the vehicles. They include 47 diesels, emissions-free vehicles by 2026.” uptake of EVs, but has yet to make coalition opted for emissions-free 16 plug-in hybrids, four battery However, not all individual any announcements. by 2025/26 “where practicable”. electric, four petrol and one full vehicles in the next few years will hybrid. be emissions-free. Hipkins adds: Light EV ownership All cabinet ministers and four “For example, if long-distance Pure electric Plug-in hybrid ministers outside of cabinet have travel is needed, it’s currently not Individual 6,501 74.0% 1,713 60.4% self-drive vehicles, of which 53 per practical to use an emissions-free Company 1,712 19.5% 1,072 37.8% cent are EVs. vehicle due to the lack of charging Of vehicles owned by the stations in remote areas.” Other 574 6.5% 49 1.7% Department of InternalTable Affairs 1 A six-month trial of a BMW “Other” owners are typically central, regional or local government
Table 1 Monthly light EVEV registrations share of - new and used import EV percentage share of registrations 700 registrations 2.25% New light Used light 650 New light Used light 2% Jan600 2014 0.025% Jan 2015 30 11 550 1.75% Feb 0.065% 500 Feb 19 11 1.5% Mar450 0.186% Mar 46 12 400 1.25% Apr350 0.234% Apr 24 9 300 1% May250 0.177% 0.75% Mar 16 13 200 Jun150 0.103% 0.5% Jun 36 15 100 Jul 0.25% 50 0.120% Jul 20 28 Aug0 0%
Jul 0.112% Jul Oct Oct Apr Apr Jul Jul Jul Feb Feb Jun Jun Nov Nov Sep Sep Aug Dec Dec Aug Oct Oct Oct Mar Mar Mar Mar Apr Apr Apr Feb Feb Feb Jun Jun Jun Nov Nov Nov Sep Sep Sep Aug Dec Aug Dec Dec Aug Mar Mar Mar Aug 21 9 May May May Source: MoT, 7 Jan 2019 Jan 2017 Jan 2018 Sep 0.113% Jan 2016 Jan 2017 Jan 2018 Sep 28 17 Oct 0.116% Live EV listings on Trade Me: New EVOct listings on Trade Me: EV 16watchlists on Trade Me:24 NovTop 5 EV models 0.144%Average listing price Nov 22 24 listed on Trade Me last month: for the month: Eye on EVs Dec 0.121% +1.9% 89.4% -6.7%Dec +63.1% +6.8%17 +29.1%37 • Nissan Leaf • BMW i3 $24.7k Jan• Renault 2015 Zoe • Mitsubishi 0.173% Compared to Compared to Compared to Compared to Compared to Compared to Outlander Jan 2016 19 43 • Renault Kangoo last month prior year last month prior year last month prior year Feb 0.145% Feb 14 22 * FiguresMar as per the end of January 2019 0.239% Mar 31 43 Apr 0.160% Apr 46 48 www.autofile.co.nz 19 May 0.128% Mar 29 58 Jun 0.199% Jun 135 60 Jul 0.196% Jul 68 85 Aug 0.128% Aug 47 78 Sep 0.185% Sep 39 78 Oct 0.166% Oct 57 108 Nov 0.195% Nov 131 91 Dec 0.236% Dec 98 86 Jan 2016 0.260% Jan 2017 83 124 Feb 0.161% Feb 103 126 Mar 0.301% Mar 67 142 Apr 0.418% Apr 41 144 May 0.361% Mar 105 180 Jun 0.745% Jun 109 200 Jul 0.610% Jul 67 224 Aug 0.479% Aug 90 252 Sep 0.437% Sep 89 247 Oct 0.590% Oct 136 300 Nov 0.820% Nov 132 346
Dec 88 290 1 Jan 2018 99 317
Feb 94 193
Mar 125 214
Apr 109 270