{"id":374630,"date":"2020-02-17T10:50:31","date_gmt":"2020-02-17T08:50:31","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=374630"},"modified":"2020-06-18T12:05:46","modified_gmt":"2020-06-18T10:05:46","slug":"new-regulations-that-every-south-african-driver-should-know-about","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/motoring\/374630\/new-regulations-that-every-south-african-driver-should-know-about\/","title":{"rendered":"New regulations that every South African driver should know about"},"content":{"rendered":"

The Competition Commission has gazetted <\/a><\/strong>draft guidelines that aim to change anticompetitive service and warranty plans in South Africa.<\/p>\n

Currently, the majority of owners of new cars in South Africa are locked into using a vehicle manufacturer’s service centres, repair shops and parts in \u2018embedded\u2019 motor and service plans.<\/p>\n

If these owners decide to use an independent service or repair provider of their own choice, vehicle manufacturers punish them by voiding their warranties.<\/p>\n

This has also locked out independent workshops and service centres, thereby limiting small-to-medium-sized enterprises\u2019 abilities to transform and grow the sector.<\/p>\n

The Commission\u2019s guidelines stipulate that consumers will no longer be compelled to conduct in-warranty service, maintenance or repair work only at approved dealers or approved service providers.<\/p>\n

The guidelines further state that vehicle manufacturers and approved dealers must allow consumers to fit non-original parts where a specific part’s warranty has expired, without voiding the balance of the motor vehicles warranty.<\/p>\n

This is a breakthrough in the adoption of OEE or Original Equipment Equivalent parts, which offer the same standards of safety and quality as their counterpart Original Equipment Manufacturer (OEM) parts, but at a lower cost.<\/p>\n

“At the point of sale, dealers and financiers must provide the consumer with details of all inclusions and exclusions included in the Service and Maintenance Plans,” the commission said.<\/p>\n

“This will allow consumers to exercise choice regarding whether to purchase the Maintenance or Service Plan and make servicing a more affordable option for South Africans, whilst allowing for more players to provide such Value-Added services for consumers whose vehicles are in-warranty.”<\/p>\n

The deadline for submission of comments is 16 March 2020.<\/p>\n

A finalised set of guidelines will ultimately be implemented as part of the Competition Act and will give authorities the power to pursue anti-competitive behaviour through enforcement.<\/p>\n

Competition commission vehicle repair guidelines<\/a> by BusinessTech<\/a> on Scribd<\/p>\n