www.autofile.co.nz DECEMBER 2018
The TrusTed voice of The auTo indusTry for more Than 30 years ‘More robust’ system Specialised needed for inspections training that’s proven to The NZTA has extended the timeframe of review into entry increase profits certification and tackling supply-chain conflicts of interest p 10 he deadline for industry while its approach in assessing views on policy changes to conflicts of interest are set out in regulate parts of the supply the document. chainT for used imported vehicles “At the time the policy was Coping with has been pushed out. created, some integration of the high-tech disruption The consultation period for used-vehicle supply chain was the NZTA’s review, which is called anticipated and taken into account, “managing the integrity of vehicle but not to the extent that has Paris Motor Show certification inspection”, has been subsequently occurred,” states the highlights extended from November 30 to agency. “This means one business February 20. could potentially be responsible It is part of a wider investigation for some or all parts of the entry- into regulatory compliance “to certification process.” p 14 Fergus Gammie, chief executive of the NZTA create a more robust system”. The NZTA’s proposed policy The agency says the deadline from Japan-based Optimus Group changes include: extension “follows feedback owning both companies. Clarifying how “conflict of more time is needed for detailed As reported by Autofile in interest” is defined. Dealer submissions to be given on the effect November, Gammie believes the Tightening controls for tips for changes may have on business”. issues involved are “serious” with appointing entry-certification electric The review comes hot on the the agency now carrying out the inspectors and organisations heels of chief executive Fergus review “to establish what changes for used vehicles to avoid sales p 16 Gammie announcing the NZTA will are required to prevent similar such conflicts. act on possible conflicts of interest situations”. Ensuring inspectors and in regards to its service providers. The agency’s operational policy organisations have an ongoing Richard The agency issued the states vehicles entering New duty to inform the agency about de Lautour statement after formal warning Zealand must be checked, certified, conflicts of interest that arise. interview letters over potential conflict registered and licensed before issues were sent to JEVIC NZ and they can be used on-road as part There are also two proposed p VINZ in August. Its concerns stem of the entry-certification process, “global” changes. The first is current 18 [continued on page 4]
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GUEST EDITORIAL Research and tests
DIRECTORS EDITOR key to future wins Brian McCutcheon Darren Risby brian@autofile.co.nz ris@autofile.co.nz ph. 021 455 775 Simon McManus argues polarised opinions JOURNALISTS Darren Wiltshire Sue Brebner-Fox hamper the debate about transport issues dazzz@autofile.co.nz sue@autofile.co.nz ph. 021 0284 7428 Lucy Pink lucyp@autofile.co.nz ith so much shared-mobility solutions, DESIGNER news about and technologies that Adrian Payne MOTORSPORT electric cars, help infrastructure [email protected] Mark Baker [email protected] flyingW taxis, autonomous management and vehicles and emerging transport planning 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. modes of mobility, such as achieve better outcomes. Back copies are also available on the website. electric scooters, it’s hard Decision-makers Copyright: Published monthly by 4Media Ltd, not to get excited by the regularly face areas in PO Box 6222, Dunedin 9059. SIMON McMANUS future of transport. which transport is being Executive officer, ITSNZ All statements made, although based on information believed However, opinions disrupted by technology to be accurate and reliable, cannot be guaranteed, and across the motor-vehicle and new business models. At the no liability can be accepted for any errors or omissions. Reproduction of Autofile in print or digital format in whole or sector, transport planning and same time, we all have to respond part without written permission, whether by copying or any infrastructure differ widely. with urgency to important other means, is strictly forbidden. And because there’s so much challenges, such as the climbing All rights reserved. ISSN 0112-3475 (print) ISSN 2350-3181 (online) at stake, we need to be wary of road toll, climate change and decisions being impacted by poorly social equality. It’s a perfect storm. informed media opinions and those There has never been a greater with purely commercial agendas. need for bold decisions based on While well-meaning, such views can conversation grounded in fact. have a disastrous effect on society. What adds to the difficulty of this Vehicle Inspection NZ In technology circles, is new technology and business “vapourware” describes imaginary models tend to be thin on the or in-development technology, ground when it comes to proof of software or hardware concepts not concept or real-world trials. Entry Certification yet ready to purchase and that may In vehicles already on the road, never see the light of day. we’re seeing level-two to three specialists The vehicle industry has always autonomous functionality. Yet had its fair share of exciting, futuristic drivers don’t know the limitations, concepts. Just think of those on nor are testing facilities and staff display at motor shows – either equipped to inspect all new sleek or beautiful capturing the hardware and software. imagination, or just plain absurd. A key message to come back They provide press-release from the 2018 ITS World Congress fodder, which makes for in Copenhagen is there’s no entertaining reading as we look shortage of exciting ideas, but that ahead along the road of transport testing and research is critical. disruption, but this vapourware New Zealand has a part to often clouds our decision-making play. We’re well-positioned to do regarding future outcomes. so, and it’s good to see crucial At Intelligent Transport Systems research, testing and trials New Zealand (ITSNZ), our mission is getting under way. to promote the development and We must support those who adoption of sustainable, efficient have worked hard to test ideas and and safe solutions. concepts, and to encourage them Our organisation now to share outcomes so we can move encompasses advanced paradigm towards better transport solutions 0800 GO VINZ VINZ.CO.NZ shifts, such as mobility as a service, for people and planet.
www.autofile.co.nz 3 news
[continued from page 1] policy refers to “real or perceived” providing entry certification, the conflicts. The NZTA wants to remove NZTA must either: these references because the new Decline the application if definition of “conflict of interest” the conflict arises because captures “actual, potential and either party provides border- perceived”. The second is replacing inspection services or has any references to its “access and use” ownership interest in respect group with “transport agency” staff. of used vehicles that would be WOFs, COFs, entry certification and border inspection are among services The agency stresses entry NZTA principles to monitor inspectors and providers apply to certified by the applicant. certification is an important part of If the application doesn’t involve ensuring New Zealand has a safe integrity, and monitor external In regards to transparency, a conflict and a key inspection land-transport system “the public performance so variations in border-inspecting organisations, service cannot be provided can have confidence in”. outcomes are mitigated. used-vehicle inspectors and entry otherwise, the applicant will After consultation closes, The proposed changes certifiers have to disclose financial reduce or mitigate any risks to feedback will be considered by its include avoiding potential or professional interests in selling, an acceptable level. board and a final decision made harms from conflicts of interest importing, repairing or modifying with the date of effect to follow and unnecessary variations so vehicles, and specify how conflicts Effective control includes any “soon after”. “minimum standards are met in the will be managed. shareholding in the applicant, interests of public safety”. That will change to applicants common directors, ultimate holding CONFLICTS OF INTEREST The amended clause will state: being “subject to a duty to company, beneficial entitlement to Part of the NZTA’s operational “A conflict means a situation promptly disclose any interest” or interest in an applicant, the right policy covers applying principles where an applicant is or could be and satisfying the NZTA how to exercise any voting power at a for appointing inspectors influenced, or perceived to be at risk any conflicts will be managed – meeting and any close personal and organisations to different of being influenced, by a financial, including after applications have relationship with the applicant. inspection and certification professional or personal interest. been granted. “In weighing considerations to activities to prevent any “real or For the avoidance of doubt, [this] Another change is those reach a decision about whether to perceived conflicts”. includes an actual or potential applying to carry out used entry decline or approve an application, It also lays down category conflict or situation that may give certification will have to show agency staff may have regard to conditions to maintain service rise to the appearance of a conflict.” “functional separation” between any requirements and conditions this and other inspection, repair of performance of used-vehicle and maintenance activities, such as entry certification, which may be warrants and certificates of fitness imposed,” says the NZTA. (WOFs and COFs). The existing wording states “a high degree of SCOPE OF REVIEW separation” must exist. The purpose of the operational We’ve got your back What will remain unchanged is policy is to provide a framework the entry certifier – including parent for the NZTA to evaluate and No setup fees and subsidiary organisations – appoint inspecting organisations No ongoing costs cannot have ownership or financial and inspectors, and “manage the interest in vehicles being entry- integrity of services”. Pay for what you use certified unless a transparent and In addition, the guidance robust system is in place to negate will “ensure our service-delivery any conflict of interest, and ensure processes allow customers to each vehicle is accurately assessed. benefit from a competitive market without compromising safety”. the fast, CROSSING THE BORDER Principles to evaluate, appoint An extensive new policy clause and monitor organisations and will cover conflicts of interest inspectors apply to WOFs, COFs, accurate, arising from applications to certify light-vehicle repair inspection and used vehicles. certification, low-volume vehicle easy way to check The NZTA says this activity specialists, entry certification, plays a critical role in ensuring heavy-vehicle engineering only safe vehicles enter the fleet, certification including local vehicle information and promotes public confidence manufacture and modification, in the process as “part of an alternative fuel certification and effective, efficient and safe land- border inspection. transport system”. The NZTA manages its policies If an applicant, or anyone who in this case through the Land Take a FREE online checka business account effectively controls the applicant, Transport Act, Land Transport Rule: test drive today at testdrive.checka.nz or has a relationship with any Vehicle Standards Compliance and contact us on (09) 889 9046 other party that gives rise to a Land Transport (Ordering a Vehicle conflict concerning the applicant off the Road) Notice.
4 www.autofile.co.nz news
t Section two of the rule sets out the application criteria for inspectors and inspecting organisations. The agency aims to work with them in an “open and transparent way to achieve high standards”. It adds: “A policy framework is required to provide a level playing field for all to compete The Motor Trade Association owns 40 per cent of VTNZ on price and service while not compromising standards.” Greig Epps, advocacy and David Vinsen, chief executive of business models work,” adds Vinsen. The agency appoints applicants strategy manager, says consultation VIA (the Imported Motor Vehicle “That said, there are some to different categories to avoid on parts of the agency’s policy Industry Association) says: “We are concerns about international potential harms from conflicts of relating to conflicts of interests fail down the middle on this issue. business-to-consumer supply interest, and applies conditions to to cover bigger industry questions. “We support competition in an models unless there is a New maintain service integrity. It monitors “The NZTA doesn’t appear to have open market with the rider that we Zealand-domiciled business that work to avoid outcome variations a very robust audit system in place,” don’t want to see a race to the bottom can supply the necessary provisions and ensure standards are met. he told Autofile. “This review should in terms of price-cutting because of the Consumer Guarantees Act.” “Contextual factors giving rise to look to place greater emphasis on the ultimate result can be service David Crawford, chief executive conflicts vary between categories enforcement, not just tightening providers going out of business.” officer of the Motor Industry and may vary between providers,” it language around conflicts. VIA sees the NZTA as having a Association, recalls the last says. “In some situations, a conflict “The core problem with regulatory role to ensure no conflicts time compliance systems were may be grounds for declining an inspecting organisations that of interest – or perceived ones – reviewed about four years ago, application. have come under scrutiny recently exist or arise, and understands and it was about involving more “When weighing up conflicts isn’t their management of these acknowledges both sides of the organisations in doing this work of interest between inspection conflicts of interest, but the way in situation in this matter. and providing greater choice and certification services – and which the agency has overseen the “We believe businesses around service providers. other functions related to the quality of inspections. should be able to make their own “It’s something we supported importation, maintenance, service, “Given the government’s commercial arrangements so because we didn’t like having just operation and sale of vehicles – the commitment to introducing a [continued on page 6] agency’s fundamental principles Vision Zero road-safety approach, are transparency, separation, codes we are proposing in our submission of conduct and monitoring. that the agency needs to look at its “Because used vehicles have whole policy in this context.” their own histories relating to The MTA retains 40 per cent maintenance, usage, accidents ownership of VTNZ through DEKRA and component replacement, the NZ, which is jointly owned with agency requires greater assurance German company DEKRA. any interest in selling or importing Epps doesn’t see a conflict Easy come, Easy buy! vehicles held by border inspectors of interest here as the MTA has · 100% Dealer Direct · One customer - one friendly staff or certifiers will not compromise no financial interest in vehicles standards. being inspected. He stresses the “Organisations applying to enforcement process needs to Respected company Quality cars carry out border inspections will come under the spotlight with a · Trusted relationships with our customers · 30 photos taken to show real quality be required to demonstrate how focus on the ongoing development [these] functions will be separated of inspectors to ensure they stay at from other services that might the top of their game. otherwise be carried out by the He notes VTNZ has around 80 inspection organisation. sites nationwide and the MTA has “[Those] applying to carry about 1,800 members carrying out out used light-vehicle entry WOF inspections. Inspection Friendly staff · Vehicles inspected by experienced staff · Our goal is to exceed your expectations certification will be required to “That’s a small part of a small demonstrate functional separation part of the issue as are other will exist between entry- organisations that have been in the certification and other activities.” news about possible conflicts of interest,” says Epps. “The real issue REACTION OF INDUSTRY is how the inspectors have been The Motor Trade Association (MTA) inspected.
believes the NZTA’s current focus “The NZTA is taking a battering at Contact needs to be on the way it ensures the moment. The MTA wants to work 12F Kirara Center Building, 6-1 Nagisa-cho, Izumiotsu-City, Osaka, 595-0055, Japan competent vehicle inspections are with it to improve the inspection Phone: +81-725-23-8910 · Fax: +81-725-23-8911 http://www.enhance-auctions.com being performed. regime and not just beat down on it.”
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[continued from page 5] four service providers,” he explains. as a step in the right direction. “We also recognised the need for new They are better than what we have processes to provide for separation “It’s about ensuring because they’re more explicit. due to conflicts of interest. there’s a level They were originally more open to “We have confidence in the interpretation and this could have present arrangements, but there playing field for all led to a wider range of outcomes. should be adequate separation participants in the “The NZTA is narrowing down between those providing what’s required and including border inspections and those compliance system” more detail. It has to be managed undertaking compliance – WOFs – David Crawford properly when a company is and COFs – in New Zealand. vertically integrated. The review “The MIA accepts there’s a need arrangements have been high profile reached,” stresses Crawford. is explicit on managing this and for better clarification of what leading into this review, Crawford “When a border-inspection similar situations.” constitutes a material conflict of notes they aren’t the only companies organisation, inspection agent Fergus Gammie, the agency’s interest and when a perceived operating in this space with common and shipping agent have a joint chief executive, stresses: “We are conflict needs to be addressed.” parent-ownership models. owner, it needs to be ensured undertaking a review of our approach Crawford adds a robust The MIA has no view on whether short-cuts aren’t and cannot be to conflicts of interest to ensure it inspection system is required with such set-ups are appropriate other taken. We’re not saying short-cuts aligns with our focus on safety. entry certification and questions if than the rules need to apply evenly have been or are being taken. “Existing policies have been a company completing compliance to all service providers – and it’s up “But it requires open and identified by the board as an area should also doing certification. to each one to demonstrate to the transparent governance by the of serious concern. The board has “Whether vehicles comply at NZTA their operations meet the test NZTA on all providers to achieve a tasked the agency’s management the border from the country of of mitigating conflicts of interest. robust and defensible compliance team with implementing a new origin and then comply at entry “Any conflict or risk, real or system. Certification needs to be approach, noting conflicts of certification are vastly different. perceived, needs to be managed managed with suitable separation interest are unacceptable in It’s about ensuring there’s a level to ensure vehicles entering the from WOFs and COFs. modern business practice.” playing field for all participants in fleet meet required standards “The proposed changes, which The NZTA told Autofile it will the compliance system.” and the public needs to have have been carefully crafted by make no further comment on the While JEVIC NZ and VINZ’s confidence standards are being lawyers, are supported by the MIA review until it’s completed. God save ‘New Zealand’ hat’s in a name? Quite a the AA Driven New Zealand Car of lot, according to the NZ the Year Awards. Motoring Writers’ Guild. “New Zealand” being in title WBut not enough for the Commerce prompted the guild – whose Commission to get its knickers in a president is Richard Edwards, twist about what organisations call managing editor of Auto Media car of the year awards, let alone the Group – to take umbrage. use of “New Zealand”. Correspondence between the Here’s the deal. In 2012, the AA guild and AA ensued. teamed up with the guild to jointly Dissatisfied with the response stage the NZ Car of the Year Awards, from the AA, which quite rightly Motor Vehicle Finance which the latter says it started 30 believes you can’t copyright “New years ago. Zealand”, the guild complained to Easy finance for your customers means The guild then informed the AA the commission that legislation more sales for you. We ofer: in December 2017 it “wouldn’t be had been flouted. continuing with the agreement”. “We didn’t consider there to • Competitive interest rates Before last year’s final, sources be a breach of the Fair Trading • Fast, friendly service tell Autofile the guild may have Act to pursue the matter,” says • Customised plans to suit requested there be 11 finalists a commission spokesman. “We whereas in the past there were considered the intellectual property Know your customers are in good 10, which was the number the AA concerns may be better suited to hands, get in touch with us today. wanted to stick to. private action between the parties.” Getting an extra car into The guild is now contemplating Auckland’s Viaduct Centre, where its next move and the Subaru Auckland Levin Christchurch the final was held, would have been Forester took out its crown this year. 0800 88 44 66 0800 263 264 0800 735 562 logistically more challenging. And Meanwhile, Autofile has why change a winning formula? obtained letters between the two oxfordfinance.co.nz This year, the AA has teamed up parties on the issue – visit www. NZME Publishing instead to launch autofile.co.nz.
6 www.autofile.co.nz news Trade Me faces takeover offers second buy-out offer seeking professional advice.” for Trade Me has been Apax is an “independent received from a US-based global partnership” focused Aprivate-equity firm. solely on long-term investment Hellman & Friedman is willing in growth companies. Funds to pay $2.56 billion, which equates advised by it typically invest to $6.45 a share. This trumps an in technology, telcos, health earlier indicative bid of $2.54b care and consumer businesses from Apax Partners. valued from $1.7-$8.4b, which The latter has offered $6.40 a puts Trade Me in its sweet spot. share, has its headquarters in the Its companies employ more UK and is also a private-equity than 150,000 people in businesses company. that at the end of 2016 generated Trade Me has advised Apax of combined revenues of about $31b. the competing proposal, but has Shares in Trade Me jumped decided it will also engage with by 18 per cent, or by 96 cents, Hellman & Friedman on the latest to $6.06 after the first offer was bid, which is subject to certain revealed to the NZX – the highest conditions. they have ever traded at. The “Apax is undertaking due Apax offer valued the company at diligence on an exclusive basis $2.5b – about $500 million more following its preliminary, non- than its share-market value when binding, indicative proposal was trading closed on November 20. announced on November 21,” says Founded by Wellingtonian Sam Trade Me in a statement released Morgan and previously owned to the NZX on December 5. by Fairfax Media, Trade Me was “This exclusivity is subject to initially floated on the NZX after a ‘fiduciary carve-out’ that allows raising $363.5m at $2.70 a share. Trade Me to engage with third In 2017/18, its financial parties on unsolicited proposals. performance continued to be “The board has decided it’s in the strong. It grew revenue by just interests of Trade Me and consistent under seven per cent year on with its fiduciary obligations to also year to $250.4m. Earnings before engage with Hellman & Friedman interest, tax, depreciation and on the new proposal. amortisation rose by 6.2 per cent “The board notes there’s no to $163.8m and net profit went up certainty either proposal will result by 2.3 per cent to $96.6m. in an offer, or any other transaction, “The board and management for Trade Me.” always take the long-term view Hellman & Friedman, which when investing your money,” operates out of San Francisco chairman David Kirk told is private-equity fund manager shareholders at last month’s annual focusing on large-scale equity deals. general meeting. Last year, it was one of several “The total regular dividend bidders for Australian publisher payment for 2018 was 19.6 cents Fairfax Media Group and its online per share, an increase of six per real-estate listings unit Domain. cent on the previous year. In In regards to the Apax offer, addition, the board decided to pay Trade Me informed the NZX on a special dividend of 22 cents per November 21: “The board advises share in September.” shareholders they don’t need Trade Me’s chief executive officer, to take any action in relation Jon Macdonald, announced in June to the indicative proposal, and he would step down at about the shouldn’t do so without assessing end of this year and a replacement all available information and also has yet to be named.
www.autofile.co.nz 7 news Bid to boost response rates he NZTA has started to Mandatory Takata alpha airbag recalls contact people who have TYPE OF VEHICLE TOTAL IN RECALL COMPLETED INTERIM FIX DEGISTERED YET TO DO REMAINING COMPLETE failed to have alpha-type New Zealand-new 21,003 17,714 6,778 167 3,077 14.7% 85.3% TTakata airbags in their vehicles Used imported 63,608 29,264 116 2,558 31,631 49.7% 50.3% remedied as part of a nationwide Total mandatory 84,611 46,978 6,894 2,725 34,708 41% 59% mandatory safety campaign. Voluntary Takata non-alpha airbag recalls Recalls have been completed for TYPE OF VEHICLE TOTAL IN RECALL COMPLETED INTERIM FIX DEGISTERED YET TO DO REMAINING COMPLETE about 85 per cent of New Zealand- New Zealand-new 232,787 145,055 9,300 1,399 86,333 37.1% 62.9% new vehicles and half of used Used imported 283,712 80,673 3,174 3,692 196,717 69.3% 30.7% imports, which means about 41 per Total voluntary 516,499 225,728 12,474 5,091 283,050 54.8% 45.2% cent are outstanding. Source: MIA – November 22, 2018 The Motor Industry Association obligations under the call-back and different government agencies identification processes in place for (MIA) is now working with the process and it will be up to the NZTA weren’t working together. the government and industry to say transport agency, which is sending to decide if unremedied vehicles get “Then Kris Faafoi, the Minister for there’s a recall in place or not. warning letters to owners contacted future WOFs. Commerce and Consumer Affairs, “It has taken several months’ three or four times by marques. “Marques have completed the scrutinised the process,” Crawford work, but we’ve done 85 per cent “The percentage of NZ-new process in different ways,” says told Autofile. “The result was the of NZ-new vehicles meaning about owners yet to take in their vehicles Crawford. “All distributors in the NZTA and Ministry of Business, 3,000 still have to be remedied.” is small,” says David Crawford, chief mandatory recall have eventually Innovation and Employment, and In addition to work done by the executive officer. “By using vehicle got required parts coming into the the industry and government, industry, Faafoi has been encouraging identification numbers [VINs], country. The availability of parts working better together. more owners to get cars remedied the NZTA is contacting them to has increased during the process. “Prior to the Takata recall, the by stressing this is free no matter if say they may not get a warrant We still don’t have all of them for only way a New Zealand distributor bought privately, through a dealer, of fitness [WOF] unless remedial the voluntary recall, but generally could assess if used-imported new or second-hand. work is completed. As an aide to supply has gone up. vehicles affected by the recall were He says: “We have higher crash improve the understanding and “There has been a lot of work by in this country was to search the rates than we’ve seen before so it’s importance of information in the many organisations, which has taken motor-vehicle register, which would important all vehicles have safe government’s letter, its contents a lot of time. We’ve identified all show them when first sold here. airbags. Consumers can check have been written in several vehicles covered by the mandatory “This was too late in the recall whether theirs are affected on languages, so now we have to see if recall, but the last thing we want is to so – with the NZTA’s help – systems www.rightcar.govt.nz and what to there’s a boost in response rates.” come off the pedal now. This is why have been developed for distributors do if that’s the case.” If the government’s letter has the NZTA letters for people to take to capture relevant data at entry While main centres make up been sent and the owner still vehicles in are so important.” compliance. The marque could then more than 21,000 of about 35,000 chooses to not complete the Earlier in the year, the MIA check with its head office on recall alpha airbags yet to be remedied, recall, the new-vehicle distributor concluded some people were status for vehicles’ airbags. Faafoi is concerned some areas have has technically completed its failing to take the recalls seriously “We’re confident of having high numbers needing attention.
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8 www.autofile.co.nz Wishing you safe and happy motoring over the festive season Thanks to all our partners and customers for a great 2018. Don’t forget, as your insurance provider We are independently owned Focussed on your profitability Guaranteed protection of your customer database Over 30 years of experience
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www.protecta.co.nz 0800 776 832 www.autofile.co.nz 9 news Coping with high-tech disruption
lectric vehicles (EVs), autonomous vehicles and mobility as a service are likely Eto ultimately change the face of the automotive industry – with knock-on effects on car-ownership models, and finance and insurance (F&I). That’s the view of three players in the emerging technology space, who shared their perspectives on the future during a “road bumps” discussion at October's annual conference of the Financial Services Federation. Autofile caught up with the panellists – Michael Cameron, Oscar From left, Oscar Ellison, Michelle Herlihy, Custom Fleet’s New Zealand country manager who hosted the session, Michael Cameron and Dean Sheed Ellison and Dean Sheed – to discuss their ideas and recommendations. manager of Audi NZ and a Drive cars is going to be critically driverless car law reform across Cameron is a lawyer and Electric board member. important as technology drives the Tasman, which has attracted driver of legislative reform on forward, says Cameron. controversy due to its limiting nature. autonomous vehicles, Ellison RECEPTIVE LAWS NEEDED While current liability regimes “On top of everything else is founder and chief executive Achieving clarity and certainty find a negligent motorist liable for an you have to do to get a vehicle officer of Auckland-based peer- around liability in the event of accident, it’s likely that once the need on the road in Australia, you also to-peer car-sharing company motoring accidents involving to drive a vehicle is removed, liability need to get an application that YourDrive, and Sheed is general partially and fully autonomous will shift to the manufacturer. asks questions on whether your “Communication of the driverless vehicle is safe to drive legislation will be crucial. We could without a driver. scare a lot of companies that want “If you make a bureaucrat decide to deploy their technology or invest whether something is safe or not, in New Zealand because they might the safest thing for them to do is see it as an unfriendly move writing to say no. I think companies will be legislation that makes them liable. put off from even trying to put their an independent choice I would, however, argue that a law vehicles on the road in Australia.” change is not unfriendly because He believes our government the courts are going to hold needs to pass legislation that Quest Insurance offers: manufacturers liable anyway, but it states autonomous vehicles do makes it clear and therefore allows not need drivers to go on roads Mechanical Breakdown Insurance manufacturers to plan.” in New Zealand, accompanied by – backed by AA Roadside Assist Cameron, who won the 2016 an explanation about how Kiwis Comprehensive Motor Vehicle Insurance Law Foundation’s International will be kept safe, which would be – including learner and restricted license cover. Research Fellowship for his through the NZTA exercising its Weekly, fortnightly & monthly instalment options now project on “realising the potential back-end powers. available to match your customers pay cycle of driverless vehicles”, sees the “I’m just really worried that we biggest risk for New Zealand will miss the boat,” adds Cameron. Guaranteed Asset Protection as needing people to think the “Jobs are going to be destroyed Lifestyle Protection Insurance country is open for business no matter what we do, so whether and our laws are receptive to we get some of the jobs that are the deployment of driverless created by autonomous vehicles technology. However, it’s unclear is by no means certain. The best at the moment that is the case. way to predict the future is to make “We haven’t written any laws it happen, rather than passively to facilitate driverless vehicles, waiting for things to happen.” If you are a forward thinking motor vehicle trader, or fnancier, which is a good and bad thing. It’s looking for a trusted vehicle insurance partner, call Quest. a good thing in a sense as some FINANCE KEY ENABLER jurisdictions have changed their As new ownership scenarios play Contact: Simon Moore laws in a way that makes them less out, F&I companies will probably ph. 021 149 2266 receptive to driverless vehicles.” find themselves providing services e: [email protected] Cameron points to the recent to not only individual owners, but
10 www.autofile.co.nz news
t also to ride-share companies. in time. All we are doing is moving “Now is the time for the along that curve from being insurance and finance industries to unique to being mainstream.” Tackling tech issues immerse themselves in emerging technologies,” says Sheed. “They don’t CATERING FOR NEEDS peakers and The closing date for need to become experts, but they Understanding consumer patterns programme ideas submissions for papers need to understand what’s coming. around mobility and the technology are being sought and presentations is “As we grow in levels of that drives them will help the forS T-Tech19 being December 18. Subject autonomy, cars will have sufficient F&I industry adapt its responses organised by Intelligent matters are future technology in them for a serious accordingly, believes Ellison. Transport Systems New transport and cities, reduction in crashes and eventually “The whole shared-mobility Zealand (ITSNZ). sustainability, efficiency we won’t have any more accidents. area fights against car ownership, The conference, and beating climate “The insurance industry has which is what the insurance and which is taking place change, and future to look to see where it adjusts finance sectors need to cater for,” in Christchurch from May 5-7, will freight. Others are safety in cities premiums, and do its forecasting he told Autofile. feature presentations by thought- and transport, and connectivity, and assessments based on a sliding “The big headline number in leaders, technology experts, cybersecurity, data and digital scale of autonomy – where we are New Zealand is 95 per cent – 95 per academics and innovators. It’s also infrastructure. today versus where we’re going.” cent of the time vehicles sit around a forum for updates and discussion Submissions will be judged by In terms of electric cars, Sheed doing nothing and five per cent of on government policy, major a panel of ITSNZ members with up believes the finance industry can the time we use them – so there’s a projects and initiatives. to five papers selected along with help grow the number on New huge inefficiency in the way we use Simon McManus, executive five more presenters. Zealand’s roads. “It is an enabler them at the moment. officer of ITSNZ, says the McManus, pictured, adds: for EVs to get a higher penetration “Just 10 to 15 years ago, you had organisation is calling for papers “Once reviewed by the committee, in the marketplace because to own a vehicle to have freedom. and presentation submissions on selected submissions will they are financing fleets and But everyone now has a smartphone, the themes for next year’s event, automatically be added to a individuals. If it doesn’t have its so you can order an Uber whenever which is often described as the preliminary line-up and published head around the technology, then you want, jump online and grab a country’s leading conference to as part of our programme.” the whole notion of EV numbers car through YourDrive, or scan an explore transport innovations, Visit https://itsnz.org/t-tech19- growing could be hindered. electric bike or scooter.” trends and research. conference to find out more. “They are key enablers. The Ellison believes the F&I sector more they get on-board and the needs to be willing and nimble to more they understand the topic, change the way it views risk and the better off we all will be.” supports emerging companies New Zealand’s 10,000th EV paving the way for New Zealanders was registered in September, an to benefit from these technologies. achievement that puts the country “We have developed our own ahead of the government’s goal insurance policy for vehicles of 64,000 units by 2021. However, when they’re in our scheme, so Sheed believes more can be done. with our own model we use a Specialists in “Can we do better? Can we commission from each sale to carry pre‑shipment inspectons enable more EVs to come onto the out roadside assists and cover the market? For sure. There’s a lot more insurance aspect.” in Japan & UK the government can do, and there’s He recalls that initial discussions Full border inspections more that businesses and private with insurance companies were individuals can do. quite difficult at first. “We had a Authorised MPI inspections “Some of it’s something they lot of meetings when we were can do today, but actually you laughed out of the office due to our Authorised NZTA inspections need more choice in the market for ‘crazy idea’ because they believed it consumers. More choice equates to would never work. Odometer verification more consumers who are willing to “We have found some insurance give them a go.” companies aren’t that receptive. They Pre-export appraisal There are plenty of opportunities should be doing more for emerging for the F&I industry in New Zealand businesses because technology is Vehicle history reports as long as it moves with the times allowing things to change in New and adapts, opines Sheed. Zealand. You don’t forget people “There’s just some thinking who have supported you, and being required, some changes to current more open to these new models programmes. But there’s nothing means more collaboration during gargantuan there that should times of disruption.” scare the insurance and finance Visit www.autofile.co.nz to read JEVIC NZ industries. What is unique today more of Lucy Pink’s interviews with will be mainstream at some point the panellists. 09 966 1779 www.jevic.co.nz
www.autofile.co.nz 11 news
IN BRIEF Ship turned away Prosecution to seek three-year jail term for thefts The ex-general manager of Central Motor Group has been found guilty of due to stink bugs stealing more than $140,000 from the Taupo dealership. Stephanie Elmiger has been convicted on 225 charges covering vessel has been ordered with the vessel’s cargo, which 2013-16. Much of her offending related to transfers from accounts she to leave Kiwi waters was loaded in China, Korea and controlled, credit-card transactions and payroll payment charges. after stink bugs were Japan, remained too high to allow Judge Snell said her offending began shortly after she started at the Adiscovered on-board. the previously agreed controlled Ford and Mazda franchise, and it became “increasingly bold and blatant Officers from Biosecurity New discharge plan to take place. as her sense of entitlement grew”. Zealand intercepted three live and Subsequently, the Ministry for The prosecution will seek a sentence of about three years, while 39 dead brown marmorated stink Primary Industries (MPI) advised Elmiger’s lawyer said she would sell her property to pay back what she bugs (BMSBs), and 69 other dead Armacup the Triumph would be stole. Visit www.autofile.co.nz to find out more. regulated stink bugs, after the denied entry to New Zealand’s Carmen arrived in Auckland on the territorial waters. Clarkson’s ‘tingling’ in back of head leads to award morning of November 28. In a statement to customers, It seems fame has no The Wallenius Wilhelmsen ship Armacup says: “All cargoes bounds. Jeremy Clarkson was carrying a range of vehicles destined for Australia will require now has his own car of the from Europe and the US. It left port to be treated as per DAWR- year award, which for 2018 the following afternoon and will approved treatment methods for has been bestowed on have to be treated offshore. BMSBs before these cargoes will the Lamborghini Huracán “If permitted to come back, it be able to be reimported into Performante, pictured. should expect intensive inspection Australia. The ebullient presenter before we allow any cargo to be “As a direct result, the vessel is handed over the honour to Maurizio Reggiani, the marque’s board discharged,” says Steve Gilbert, proceeding back to Asia. Armacup director for research and development, at News Corp’s London border-clearance services director will work closely with all affected headquarters where the Sunday Times and Sun newspapers presented with Biosecurity NZ. cargo interests to find the best their inaugural motoring awards. “We informed the industry possible solution for cargoes.” Clarkson, who regularly writes syndicated articles, says: “You get into it prior to the start of the season Armacup has also extended this and don’t know what it is that’s tingling the back of your head, but think, of our hard line on vessels decision to another of its vessels, ‘this thing’s good’. There’s only been one car in the past 12 months where believed to be infested with stink the Lake Como. “Considering the I’ve had that feeling.” bugs. This is about ensuring a outcome of the Triumph, Lake dangerous pest doesn’t get a Como will not continue its voyage Marque recalls cars due to electronic issue with engine chance to establish here.” to Australia and New Zealand. Toyota NZ is calling back 169 hybrids because their fail-safe mode may Gilbert adds the interceptions “We are currently working on result in the engine stalling. indicated the cargo was likely to possible alternatives for its affected It follows the company recalling 2.4 million hybrid-electric cars, mostly be infested with stink bugs and cargo.” Priuses, worldwide to remedy the defect, which increases the risk of crashes. he believes the ship itself was also Some stink bugs were found on- The call-back in the US includes various Prius models built from 2009-14. contaminated. board the Triumph in Brisbane while A spokesman for Toyota NZ says: “This is a precautionary recall due The Carmen is the first vessel it was en-route to Auckland via to the possibility, that in the event of an internal component failure, the to be ordered to leave New other Australian ports – as reported hybrid system could shut down instead of going into fail-safe mode.” Zealand waters since the start of in the November issue of Autofile. the 2018/19 stink-bug season in The MPI says BMSBs have spread Swift ratifcation needed to avoid adverse outcomes September. to the US and Europe from Asia The Japan Automobile Manufacturers’ Association has welcomed the In February, four roll-on, roll-offs although they are unestablished in agreement on the UK withdrawing from the EU. arriving from Japan were turned New Zealand. It hopes ratification by the UK parliament and EU member states is around for biosecurity reasons. This “It’s a sneaky pest that we’ve swift to avoid the adverse consequences a “no-deal Brexit” would have for resulted in low volumes of arrivals caught at the border many times, corporate activities and consumers. in that month and March, before hitch-hiking on passengers and in Chairman Akio Toyoda says: “Free trade between the two based on huge amounts of vehicles crossed imported goods,” says a spokesman. regulatory harmony will be needed to maintain the automotive sector’s the border in April. “So far we’ve managed to stop competitiveness in the UK and EU. We hope clarity will emerge in regard Meanwhile, the Department of it settling here. They’re hard to see, to the relationship as soon as possible after the start of the transition on Agriculture and Water Resources hard to kill, travel far and breed fast. March 29, 2019.” (DAWR) has made the “irrevocable “These bugs could be a decision” for Armacup’s Triumph damaging economic pest and Dates announced for bigger show at more venues to leave Australian territory after household nuisance. Known to feed The 46th Tokyo Motor Show will be held from October 24 to November 4, being reinspected. heavily on a variety of plant species, 2019, primarily at Big Sight in the city’s Ariake district. The shipping company reports they would attack grapes, kiwifruit, It will be open to the public for a longer period and expanded to it was determined on November 23 apples, citrus and stone fruit, corn include more nearby venues, such as the waterfront. that the biosecurity risks associated and other valuable crops.”
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For more information, call (09) 257 0050 WWW.IBCJAPAN.CO.JP www.autofile.co.nz 13 paris motor show Realism hits industry hard he Mondial de l’Auto at the Porte de Versailles exhibition centre traditionally features Ta host of new offerings from the world’s biggest manufacturers. But this year, upwards of a t dozen marques – including Ford, Volkswagen, Opel, Volvo, Rolls- Royce, McLaren and Bentley – failed to exhibit in the French capital. And some naysayers, including national European media outlets, put their knives into Paris Motor The Bugatti Divo Show ahead of its October 4-14 run with stories pondering if it was “the all new car registrations from Jaguar Land Rover was among and an extra degree of negative end of the road” for such events. September, although EU measures those to criticise legislators for camber on the wheels. There was some grim realism for end-of-series vehicles allow for a lack of action to safeguard From 2019 onwards, the Divo with marques battling the limited numbers approved under the automotive industry, while and Chiron will be made at the downturn of diesel and new the old regime – the New European companies continue to grapple with brand’s headquarters in the Alsace Worldwide Harmonised Light- Driving Cycle – to be retailed until possible impacts of a hard Brexit with deliveries planned for 2020. Vehicle Test Procedure, which September 2019. – especially the likes of Nissan and measures fuel consumption and On top of that, there were Renault, which have UK factories. BRANDS COLLABORATING carbon-dioxide emissions as well concerns about selling cars in As for the cars in Paris, Bugatti BMW has decided against as pollutant emissions. the US due to the tariff war and stunned the crowds on its home developing an M version of its The new testing applied to Brexit’s uncertain effects. turf by unveiling the Divo. All 40 upcoming Z4 roadster, despite units in the launch’s limited series benchmarking the convertible on – each with a price-tag of about its high-performance M2 coupe. NZ$9.13 million – were sold after The Z4 will have three engine presentations to customers. variants. They include a two-litre The marque wanted to create 20i with 145kW of power and VEHICLES WANTED a super sports car different in torque of 320Nm, the 30i with character to the Chiron that would 190kW and 400Nm, and the M DEALERS BUYING NOW still be recognised as a Bugatti. Performance M40i with 250kW and The Divo has an eight-litre W16 500Nm from its inline six-cylinder. engine with output of 1,103kW. The company didn’t consider a The aerodynamics have been fine- full-on M version to sit alongside tuned, and suspension and chassis the M3, M4 and other siblings settings modified. It’s 35kg lighter because volumes would have and has 90kg more downforce been too small, while a high- than the standard Chiron. The performance hybrid would have 0-100kph dash takes 2.4 seconds been too niche an offering.