NEW HEAVY VEHICLE CHARGES TO APPLY FROM 1 July 2016
Members are advised that new heavy vehicle charges will apply from 1 July 2016.
The NTC calculates charges using the PAYGO cost-recovery model. Basically, governments tell the NTC how much they have spent on roads (including construction, maintenance, enforcement and regulation) and the NTC recommends how much each type of heavy vehicle should be charged.
Ministers then have the final say on the actual charges that will apply.
You can find the basic rego charges here (Note: individual states may apply further discounts in some cases)
The RUC will decrease from 26.14 cents per litre to 25.9 cents per litre.
The changes being implemented this year are bit unusual. Some operators will pay more and others will pay less. This is because two previous Ministerial decisions are being implemented at the same time.
The NTC reviewed PAYGO in 2013-14 and recommended that charges be reduced by 6.3% for registration and 1.14 cents per litre for fuel. Instead, Ministers delayed the decision for two years and then elected to freeze charges at the current level.
On 6 November 2016, Ministers agreed to continue freezing revenue at current levels, but at the same time decided to proceed with implementation of the technical changes arising from the 2013-14 review.
This means that charges will now be based on axle groupings in line with industry’s view that this is a fairer charging system for allocating charges over different vehicle classes. This is why charges will go up for some and down for others.
As part of the review process, ALRTA argued strongly for retention of the discount for road trains because they are restricted to accessing the lowest quality parts of the road network. Under an axle grouping charging regime, it is not possible to distinguish a trailer used in a road train from other uses. So, to maintain the discount, the ‘roads component’ of the charge for converter dollies (the only part of the combination specifically for a road train) has been reduced to zero, leaving a nominal small registration charge reflecting the cost of the NHVR.
Overall, government revenue collection will remain the same as last year, but the proportions allocated to some vehicles and combinations will change.
While this might look attractive to you on the surface, please also keep in mind that the freeze has been brought about because governments are collectively overcharging the heavy vehicle sector by around $250m annually but refuse to reduce total charges.
ALRTA MEETS LABOR DECISION MAKERS
This week the ALRTA National President and Executive Director met with the Shadow Cabinet Secretary (and Parliamentary Secretary to the Opposition Leader) Senator Jacinta Collins and the Shadow Employment Minister, the Hon Brendan O’Connor MP.
The main focus of the discussions was the announcement that an elected Shorten Government would resurrect the RSRT and the current continuation of overcharging by the Coalition Government.
These are potentially key points of difference between the parties that are of significant interest road transport sector.
ALRTA will bring you more news on these and other issues closer to the election.
HVNL INVESTIGATION AND ENFORCEMENT POWERS
Following on from our meeting with NTC last week, the ALRTA made a submission on the proposal to review investigative and enforcement powers under the HVNL. At this stage, we think it is prudent to limit any review to information gathering powers that may be required to enhance the new chain of responsibility laws that will be rolled out over the next two years.
It is premature to conduct a broader review until we have more experience with the operation of the new laws. NTC resources would be better spent on alternative projects.
REMINDER: CONSULTATION FORUMS ON RSRT IMPACTS
Members are advised that additional opportunities are now available to attend the consultation forums on the impact of the RSRT.
This week consultation forums were held in Perth and Adelaide. Forums are coming up in Toowoomba, Dubbo, Mildura, Shepparton, Wagga, Tamworth and Tasmania.
To register and for updates on these and other locations, please click here
The ALRTA made a comprehensive 31 page written submission to the Inquiry this week detailing the impacts on operators and fundamental failures in the design of the system.
Marley to continue as trucksafe chair
The TruckSafe accreditation program welcomed three industry leaders to its Board at its recent meeting in Goulburn. Stephen Marley will continue as TruckSafe Chair.
Stephen Marley is the General Manager for his family business Marley’s Transport, and is dedicated to improving safety in the industry. Marley’s Transport TruckSafe accredited since 1998, just two years after the program was developed.
“Safe vehicles, comprehensive management systems and effective driver training are essential to run a safe, professional and viable transport business,” Mr Marley said.
“I’m delighted to continue as Chair, particularly with TruckSafe celebrating its 20th anniversary this year.”
Mr Marley welcomed newly appointed directors Ken Brennan, Julie Russell and Victor Vella to the Board.
“Ken Brennan is the Chief Executive Officer for the ACT Transport Industries Skills Centre (TISC) & Transport Training ACT. As a former police Superintendent with some 32 years of service on the force, Ken brings his extensive experience in enforcement and road trauma issues to his new role on the TruckSafe Board,” Mr Marley said.
“As the Manager, Support Services for RB Russell Transport, Julie Russell goes above and beyond to make sure everyone comes home safely at the end of the day. As part of this, Julie was instrumental in implementing TruckSafe within the business.
“Her efforts have been acknowledged by the industry as the winner of the ATA’s 2015 National Trucking Industry Woman of the Year Award, and we’re delighted to have her on board as a Director of the TruckSafe program.
“Victor Vella has seen both sides of our industry, originally starting out as a truck driver before moving to management roles in his family’s transport business. He has a wealth of knowledge from his work right across our industry, and will bring a strong voice to the Board.”
Mr Marley paid tribute to retiring TruckSafe Director Robert Waldron for his many years of service to the program.
“Bob has been a pillar of strength for the TruckSafe program. As the previous CEO of the ACT Transport Industry Skills Centre, we’ve been privileged to benefit from your knowledge and experience in the industry,” Mr Marley said.
TruckSafe the trucking industry’s own business and risk management system, which aims to improve the safety and professionalism of trucking operators across Australia.
REMINDER: UPCOMING EVENTS
There are several important events coming up in the next two months, including:
The LRTASA Annual State Conference will be held 17-18 June 2016 at the Adelaide Entertainment Centre. The weekend kicks off with a Golf competition at Adelaide Golf Links in North Adelaide followed by pre-dinner drinks and dinner at the Entertainment Centre. The Conference Sessions are on Saturday followed by a Gala Dinner and Auction.
Trucking Australia Conference
The ATA’s premier annual event ‘Trucking Australia 2016’ will be held 23-25 June 2016 at the new Sea World Resort Conference Centre, Gold Coast, QLD. The program is a mix of entertainment and business activities featuring a keynote address by the Federal Minister for Infrastructure and Transport, Kenworth Legends Luncheon, contracts master class and the National Trucking Industry Awards.
The LRTAWA Annual State Conference will be held 1-2 July 2016 at the Light House Beach Resort in Bunbury. On Friday there will be a demonstration of drug and alcohol testing equipment and a ‘sundowner’ meal including mini-auction. The Conference Sessions are on Saturday followed by a Gala Dinner and Auction.
Joint LRTAV / National Conference
The Joint LRTAV – National Conference will be held 5-6 August 2016 at the RACV Resort in Torquay. Friday kicks off with golf in the morning, followed by three short information sessions and a longer session on the RSRT. Friday night dinner is a special 80s themed event including presentation of Young Driver and Outstanding Industry Contribution Awards. The main Conference Sessions are on Saturday followed by a Gala Dinner and Auction.