Balancing safety and affordability
The Imported Motor Vehicle Industry Association (VIA) has welcomed the coalition’s announcement to drop plans for extra safety technology requirements for cars entering the fleet.
The decision was announced by the NZTA on October 13, almost 10 months after consultation closed on proposals to require more advanced systems to be fitted and operational on vehicles when they crossed the border.
Greig Epps, pictured, VIA’s chief executive, says the decision recognises the importance of balancing safety improvements with affordability and the need to renew the country’s ageing fleet.
“We all want safer vehicles on New Zealand roads,” he adds. “The question has always been how we achieve that in a way that delivers the greatest benefit for motorists.
‘Mandating technology before it’s widely available in the affordable used market risks making replacement vehicles more expensive and reducing the range of vehicles available to consumers.”
James Meager, Associate Minister of Transport, has noted many new vehicles already have the proposed features and the technology is expected to become increasingly common without regulation.
Government analysis found mandating the features would deliver limited additional safety benefits while potentially increasing vehicle costs.
The proposals would have required lane-departure warning or lane-keep assist, autonomous emergency braking, and an acoustic warning system for EVs and hybrids on imported cars.
Epps says this reflects concerns VIA raised during the consultation process. “New Zealand’s market is different from those of countries that rely primarily on new-vehicle sales. Used imports are a major source of affordable replacement vehicles for households.
“The average used vehicle imported into New Zealand is now around 10 to 11 years old. Safety technology introduced into new vehicles overseas takes time to become widely available at prices New Zealanders can afford.
“If regulation makes those replacements harder to obtain, people may keep their existing, older vehicles for longer. That can work against the very safety improvements the regulation is intended to achieve.”
VIA has consistently argued vehicle safety policy should focus on improving the safety of the fleet rather than assessing the benefits of individual technologies in isolation.
Epps says: “Newer vehicles generally offer safety improvements over those they replace. Maintaining a reliable supply of affordable used imports helps New Zealand progressively renew its fleet and bring those improvements onto our roads.
“This decision doesn’t mean abandoning vehicle safety improvements. It recognises technology is already entering the market and regulation needs to demonstrate benefits beyond what would happen naturally.”
Epps adds the decision also highlights the value of industry consultation and evidence-based policymaking. “VIA provided detailed analysis of the likely effects on the used-vehicle market. We are pleased the government has considered the potential safety benefits and costs to consumers.
“We look forward to continuing to work with officials on policies that improve vehicle safety while supporting affordability, consumer choice and fleet renewal.”
