Senate debates

Tuesday, 23 February 2016

Questions without Notice

Vehicle Service and Repair Information

2:36 pm

Photo of Ricky MuirRicky Muir (Victoria, Australian Motoring Enthusiast Party) Share this | | Hansard source

My question is to the minister representing the Assistant Treasurer, Senator Cormann. In 2013, Jaguar Land Rover announced that all new vehicles sold by the company would no longer come with a hard copy service logbook, instead relying on an online tool that must be updated by the dealer. Where consumers have exercised their right to choose an independent repairer, it is now impossible to record this service in the online logbook. This has left me wondering: who owns the logbook—the dealer or the car owner? Is the government aware that physical vehicle service logbooks are being removed from the vehicles?

2:37 pm

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Minister for Finance) Share this | | Hansard source

I thank Senator Muir for that question and for some notice of it. The shift to digital record keeping is consistent with trends we are seeing elsewhere in the economy. The problems that Senator Muir identifies are not with this electronic shift but with how consumer interests are protected.

The government recognises that the logbook, whether electronic or paper, is an important record of car ownership, maintenance and usage. The important thing is that people get access to the information and have the information. Last year the industry raised concerns with us about access to information that enables the aftermarket industry to maintain and repair vehicles. Senator Muir has also made representations to the government on this issue. The former Minister for Small Business, Bruce Billson, was involved in brokering a voluntary industry agreement that would enable independent repairers to access appropriate repair information.

Following representations from industry to Minister O'Dwyer's office, Treasury officials met this month with representatives from the automotive service industry. The government is engaging with this sector to ensure the Agreement on Access to Service and Repair Information for Motor Vehicles 2014 heads of agreement, which has been in place since December 2014, and its supporting codes, work so that independent repairers can get appropriate access to repair information. The issue of manufacturers moving to online logbooks rather than physical service logbooks has been raised anecdotally as part of the broader issue of difficulties currently being experienced by parts of the industry in accessing vehicle repair information.

2:39 pm

Photo of Ricky MuirRicky Muir (Victoria, Australian Motoring Enthusiast Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Vehicle owners appear to be losing access to the service records of vehicles they already own and, more generally, to the data generated by their vehicles. Is the government considering monitoring this issue? I think the minister may have already touched on that.

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Minister for Finance) Share this | | Hansard source

I thank Senator Muir for that supplementary question. By way of further information, although the government is not a signatory to the industry agreement, Treasury officials are actively working with key stakeholders to discuss progress on the issue of access to vehicle repair information and to this effect will soon attend the inaugural meeting of the steering committee of parties to the agreement. The government will continue to work with stakeholders across the automotive industry to encourage better outcomes for businesses and for consumers. Given that there is an agreement, which was well worked through, we would like to get the various stakeholders back into the room to make sure that the voluntary agreement does work and that agreement allows for dispute resolution and oversight mechanisms which, given a proper life, we believe will prove effective.

Opposition Senator:

An opposition senator interjecting

Photo of Stephen ParryStephen Parry (President) Share this | | Hansard source

Order on my left!

2:40 pm

Photo of Ricky MuirRicky Muir (Victoria, Australian Motoring Enthusiast Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Just to clarify a little bit: logbooks are an essential record of service history and are relied upon by vehicle owners when making a warranty claim or reselling the vehicle. Given the implications this issue has for consumers, is the government prepared to investigate this matter to ensure that car owners are not sidelined into costly technological black holes?

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Minister for Finance) Share this | | Hansard source

I thank Senator Muir for that further supplementary question. As I have indicated, the government is actively working with industry to ensure the effectiveness of the agreement and the codes to see if further measures are warranted. To date, the ACCC has not been provided with specific examples of conduct that would demonstrate a contravention of the Competition and Consumer Act 2010. However, if there are any such examples, I would encourage industry to provide them for further consideration.