The Motor Trades Association of Australia (MTAA) has lodged its budget priorities for the federal government, presenting 16 key recommendations related to tax reform, industry support, and skills and training.
“The Australian automotive industry faces challenges around taxation and red tape, end-of-life recycling and low emissions infrastructure, and apprenticeships and skilled labour,” said Matt Hobbs, CEO of the MTAA. “The industry deals with these issues every day; it’s time now for the federal government to do the same.”
The MTAA said energy requirements and the environment are also among the submission’s key issues as the country transitions to a clean energy future.
“Australian transportation is experiencing its biggest technological shift in 100 years and the automotive industry needs to adapt, so it makes sense for the federal government to help the people who can ensure a successful transition,” said Hobbs.
The MTAA’s recommendations include accelerated depreciation on ZLEV purchases, increased funding for ZLEV charging stations (including automotive retail businesses who install charging stations), tax offsets or carbon credits for automotive retail businesses which invest in new tools and safety equipment for ZLEVs, abolishing the Luxury Car Tax to help drive ZLEV sales, and a nationally consistent road user charging scheme.
According to the MTAA, the federal government should also fund a full review of the Road Vehicle Standards Act 2018 and its related online platform ROVER, which the association said is not fit for purpose. To ensure it meets its stated aims, ROVER urgently needs legislative and technical changes, the MTAA contends.
“Skills and training remain an important component to a thriving automotive retail industry. If the government wants the economy to thrive, we must have a skilled workforce,” said Hobbs.
The MTAA also recommended the reintroduction of the Boosting Apprenticeship Commencements programme, with a rise to 15 per cent wage subsidies in the first year of an apprenticeship or traineeship, and support for industry led mentoring programmes to increase completion rates.
“The automotive industry is experiencing significant change on several fronts. The federal government needs to help the industry through this transition so we can have the best outcomes for the economy, the environment, business and motorists,” said Hobbs.