Join Partinform next week at Goldfields Casino in Welkom and stand a chance to win some amazing prizes.
Join Partinform next week at Goldfields Casino in Welkom and stand a chance to win some amazing prizes.
Join Partinform next week at Goldfields Casino in Welkom and stand a chance to win some amazing prizes.
With rising costs and a recent fuel price hike just a month ago, motorists will feel the pinch at the pumps now more than ever. On Wednesday (3 April), the price fuel rose by R1,34 per litre for 93 unleaded petrol and R1.31 for 95. Diesel vehicles also experienced an increase, paying between 82 and 83 cents more per litre.
Unless you’re able to walk, car-pool or use public transport, it will be difficult to avoid the impact that the fuel hike will directly have on your disposable income. This leaves consumers on the lookout for more cost-effective transport options. The more obvious solutions include downsizing fuel-guzzling vehicles for more energy efficient models,
If you’re one of the many motorists looking to do the best you can with the wheels you have, here are a few helpful hints to make those precious litres go a little further.
1: Drive with fuel consumption in mind
While seemingly harmless, some driving habits actually hike up your vehicle’s fuel consumption. Hugo Grobler, National Franchise Manager Auto Care & Diagnostics (ACD) offers some sensible driving tips that translate into cents – and eventually Rands – in your pocket.
2: Optimise your vehicle
A vehicle that operates in the way the manufacturer intended it to will be more economical on fuel. It’s important to take the time to understand what your vehicle needs to operate at its best, from the ideal fuel and lubricants to optimal tyre pressure. Every car is different.
A great place to start is your owner’s manual – or even better – an all-in-one service provider who can walk you through all the key points and offer you sound advice on keeping your car in great shape.
When the cost of petrol spikes, motorists might be tempted to stretch the time between services, especially for vehicles operating outside of motor plan. However, these perceived savings are quickly swallowed up by a number of fuel inefficiencies.
Studies show that your vehicle could consume up to 30% more fuel if proper maintenance is not performed on a regular schedule. So, in addition to driving more efficiently, why not adopt a preventative approach and get the condition of your vehicle assessed to save you money in the long term.
Mobility is the key to success – it is even the synonym of progress. While we can (still) not transport goods and people through the internet, we need to move it using some sort of vehicle. In South Africa, all organisations deal with long distances and a lack of punctual, effective, safe public transport. It follows that a fully operational and capable road vehicle is an extremely valuable asset to anyone. This is true for legitimate business as well as crime networks. Criminals will go to great lengths to make their operations blend into legitimate traffic.
Vehicles are both instruments in crime (providing mobility) and targets of crime (generating income by selling stolen goods). Imagine any high risk crime committed with a bicycle and a cash robbery with a horse and cart as getaway vehicle. Maybe in the 1800s – wild west cowboys attacking a train carrying gold bullion – but in 300 years, all types of business moved on.
In South Africa, the value of road vehicles stolen and hijacked per year adds up to R13 billion. More than 20,000 vehicles in this group (valued at R4 billion) re-enters the market illegally as a clone of a legitimate vehicle while others (valued at R1.4 billion) are taken apart for parts. Some of these legitimised vehicles are retained to commit crime, but most of them are sold on, eventually into the hands of consumers.
Very early in the road vehicle history, authorities realised that vehicles are too similar and have to be allocated a means of identification from a distance. Number plates emerged in France in 1893, Germany in 1896 and the Netherlands in 1898. Thus, when road vehicles started becoming commonplace in Johannesburg in the first decade of 1900, number plates were an established feature.
With the official population of registered motor vehicles in South Africa first surpassing 12.5 million in January 2019, it is evident that automated identification is necessary to enable the legitimate economy to fight back against the erosion of economic growth by motor vehicle related crime. Automated Number Plate Recognition (ANPR) is a technology embraced by law enforcement as a new enabler to address vehicle-related crime. It is claimed to have been invented in 1976 at the Police Scientific Development Branch in the United Kingdom. Several terms are used for the same technology such as Licence Plate Recognition (LPR), Automatic Vehicle Identification (AVI), etc., born by the informal industry from the need for a marketable brand.
Law enforcement in the form of the Johannesburg Metro Police Department first implemented ANPR on a large scale in South Africa. In 2006, the cost of a camera and system was prohibitive. Modes of deployment included stationary cameras for speed law enforcement, vehicle mounts to increase the footprint, and intelligent road blocks.
As the technology was facilitated by the rapid growth in closed circuit television (security cameras), the barrier to entry into the market was lowered and the private sector started deploying the technology to protect its own operations against vehicle-based crime. Several business types emerged along the supply chain to identify, record and react to vehicle position information. These systems collect a wealth of information that can be used by law enforcement agencies (e.g. police) and the private sector to fight crime effectively.
On 20 February 2019, the SAPS held a workshop with government departments and agencies responsible for the enforcement of vehicle control and vehicle-related information. All these agencies committed to collaboration in the initiatives to fight vehicle-related crime and specifically the collaboration with the private sector.
Most of the cameras in South Africa are owned by the private sector or community initiatives, which makes it different from other countries where the infrastructure was implemented by government. This creates the unique environment for a public-private partnership in the ANPR industry.
Business Against Crime South Africa (BACSA) has positioned itself to, in collaboration with Business Leadership SA, enhance its role to facilitate partnerships and collaboration with the private industry role players and government such as the SAPS. One of the areas of focus is to clarify and support issues regarding ethics and standards in the use of technology.
On 13 March 2019, BACSA successfully facilitated the first industry workshop on Automatic Number Plate Recognition in Johannesburg. Forty-six nominated representatives from 29 private and public organisations including the SAPS, system users, technical developers, service providers and industry associations participated. The aim of the workshop was to determine the way forward to ultimately make South Africa a safer place through structured collaboration of the industry role players and to determine the feasibility of creating a cost effective and non-commercial solution to leverage the wealth of available information.
The workshop noted that the quality control of number plates seriously affects the usefulness of ANPR technologies. It is further noted that the principles and technical detail for the envisioned information interchange shall be documented and agreed to by all parties. All the participants indicated their support for the initiative, led and facilitated by BACSA in partnership with the SAPS.
Although a lot of work still needs to be done, BACSA has reviewed its memorandum of understanding with the SAPS, which includes the ANPR project and is of the opinion that this structured collaboration between businesses and government is an initiative that will assist in making a sizable difference in the fight against crime.
For more information or to take part in this initiative, please see www.bac.org.za or send an email to firstname.lastname@example.org.
Source: Business Against Crime South Africa
With another year comes the release of the annual, insightful South African Automotive Supplier Industry Benchmark Report, produced for the National Association of Automotive Component and Allied Manufacturers (NAACAM). Based on extensive research and benchmarking activities conducted by specialist consultancy B&M Analysts, the report takes a deep dive into the automotive sector of South Africa, highlighting key benchmark data for local suppliers as well as comparators from both developed and less-developed regions.
The latest report shows assembly growth in the automotive industry, extending beyond our borders to other African countries as well, including Algeria and Morocco. Focusing on South Africa specifically, light vehicle volume has increased by 1.4% in the past year, reaching 582,000 units in 2018, and is projected to hit a total of 642,000 by 2020.
As far as supplier performance goes, South Africa showed some positive results with domestic suppliers increasing their average Rand sales in real terms by 10.7% in the last two years, with a similar growth rate evident in 2017 and 2018 of 5.1% and 5.4% respectively.
“We are pleased to see that the local suppliers’ growth is far stronger than the comparative production volume growth for the SA OEMs,” said Renai Moothilal, NAACAM Executive Director. “It is encouraging to note that the top-performing 25% of local suppliers achieved sales growth of 16.5% or better, in the last year. These findings suggest that local firms are securing increased diversified local business opportunities at a Tier 1 and Tier 2 level and not solely dependent to OEM volumes.”
However, the report also outlines a dip in the number of customer respondents that believe there are opportunities to increase their current buy with SA Tier 1 firms. Moothilal shared his opinion on the matter, stating, “Despite this, opportunities do still exist with local OEMs in the areas of supplying more of current products, supplying additional products in the existing range, and supplying newly developed products.”
From an enhancement and localisation perspective, the report presented a few important points for consideration, encouraging South African-based suppliers to unlock possibilities for growth by further localising their operations.
While some progress has been made in relation to the stock holding of raw materials, the report made it abundantly clear that far more focus is needed on the reduction of this high-cost item for local suppliers as it still considered the largest waste cost. Suppliers should, therefore, continue to implement Supply Chain Management best practices to further reduce raw material stock levels. This focus on reducing raw materials should go hand-in-hand with an increased and proactive drive to localise and reduce import levels.
The localisation drive must be two-fold – firms should identify value-added opportunities that they can undertake themselves, as well as those that can be utilised by local suppliers. This is crucial in support of achieving a short-term local content target of 42% for the SA-based OEMs by 2023, and taking the industry up to the 60% average targeted by the SA Automotive Masterplan to 2035.
Speaking at the launch of the report, Douglas Comrie, B&M Analysts MD, noted that “whilst the South African Automotive Supplier Benchmark Report 2019 confirms that local suppliers are, in many cases, well positioned to grow through increased localisation and/or exports, levels of investment and skills development spend had to be increased rapidly or component manufacturers would find themselves not well placed to unlock the opportunities that the new policy framework gave them”
The South African Automotive Supplier Industry Benchmark Report is jointly delivered with B&M Analysts as part of NAACAM’s effort to keep local component manufacturers and industry stakeholders up to date with relevant sector trends and developments, and make informed decisions in an always changing global automotive manufacturing landscape.
Tyres are one of those under-estimated components of a vehicle. In a crash-avoidance situation it is the tyres that will determine how well you are able to maintain control of the vehicle. Tyres also affect the noise inside the vehicle, the comfort of ride, and the road holding.
Tyres in South Africa are subject to varying degrees of extremes and these range between over loading (Often well over the load index rating), under inflation (according to the manufacturers specifications), extreme temperatures (cold or hot), poor road surfaces (with potholes and corrugations) and sustained high speeds (often in excess of the speed ratings and speed limits).
Here are five ways to ensure the health and legality of your tyres.
If you are not sure of how to check your tyres for depth or age, any reputable TDAFA (Tyre Dealer and Fitment Association) member will be able to assist with the proper advice.
When investing in new tyres for you vehicle, CHEAPEST is not always BEST. Tyres are complex products and are designed to operate and perform in specific ways in different circumstances. By changing any of the dimensional or performance criteria you are changing the entire manner in which the vehicle will behave. Ensure that the tyres being quoted to you are the correct size, load index and speed index for the vehicle. These are variables that affect the price of a tyre and you surely want to compare apples to apples.
Brands of tyres are different and poor quality tyres should never be available from any reputable or TDAFA member fitment centre. It is in your best interests to seek out a TDAFA member dealers when using your hard earned cash on tyres.
Second hand tyres are just that, they are used and have in most instances been removed for one reason or another – very seldom does the owner decided to change the tyres on impulse. Many times tyres are removed due to a puncture and have been driven on flat (indications are visible) which damages the side wall of the tyre, making it unsafe. Furthermore where punctures have been repaired, the repair must have been performed according to the SANS 10408 standard. Used tyres can, at best be, visually inspected by the seller or buyer and the integrity of the tyre casing and the tread path area is not able to be fully verified.
The best advice is to steer clear (pun intended) of the second hand tyre market, for your own safety.
Second hand tyres are best described as follows: The pleasure of a low price is quickly forgotten when the product fails
Should you have any queries regarding the tyres on your vehicle it is advisable to approach any TDAFA member as soon as possible for assistance.
Motorists have long used hand gestures and eye contact to communicate with other road users and pedestrians. However, for when vehicles of the future have no human driver, Ford has developed a light-based system to indicate what the vehicle is doing.
Using coloured lights mounted above the windshield of a Ford Transit Connect van, the car maker trialled how pedestrians would respond and react to the ‘driverless’ vehicle, which actually had a human operator hidden in the driver’s seat.
The light bar flashed a series of colours – white, purple, and turquoise – to indicate when the van was driving, about to pull away or stopping to give way. The driver hidden in the ‘human car seat’ was able to effectively gauge the responses of pedestrians, cyclists and other road users.
The tests revealed that turquoise was the colour people reacted to the most as it was more noticeable than white and confused less with red than purple.
“Fundamentally, people need to trust autonomous vehicles and developing one universal visual means of communication is a key to that. Turning someone into a ‘Human Car Seat’ was one of those ideas when there was a bit of a pause and then the realisation that this was absolutely the best and most effective way of finding out what we needed to know,” said Thorsten Warwel, Ford of Europe core lighting Manager.
Ford is working toward the goal of delivering its first self-driving car to North America by 2021, so ensuring the public trusts and can safely understand what an autonomous vehicle will do is essential.
Further tests to Ford’s lighting system have been carried out in the USA, as well as Germany at the Chemnitz University of Technology, where researchers placed lights in different areas around the car including the headlamps and grille.
“Making eye contact is important – but our study showed that first and foremost road users look to see what a vehicle is doing. The next step is to look at how we can ensure the light signals are made clearer and more intuitive,” said Dr Matthias Beggiato, department of psychology, at the university.
Courtesy of WERC Vice Chairperson Omar Ricardo Chehayeb
If you own an insured motor vehicle and you have ever had to claim from your insurance you should be familiar with the word excess. An excess is simply the uninsured portion of your loss or that portion of the claim you must pay for.
Richard Green, National Director of SAMBRA, the South African Motor Body Repairers’ Association, a proud association of the Retail Motor Industry Organisation (RMI), says SAMBRA, which represents almost 1,000 motor body repair businesses across South Africa and accounting for over 80% of all insured repair claims in the country, often receives queries from customers who are not 100% sure about how their excess works.
The Ombudsman for Short-Term Insurance recently released an article providing some excellent informative content explaining the various scenarios. Green explains that the primary reason for an excess is to ensure motorists do not feel tempted to claim for every small loss. It is there for when you cannot afford to pay for a loss yourself and is designed to eliminate small value claims which have a high administrative cost relative to the value of the claim.
The economics are sound. It is like having medical aid to a certain extent.
“If there are too many claims premiums become unaffordable for all members so keeping claims to a responsible level helps keep premiums lower for all policyholders,” says Green.
The Ombudsman explain that not all excesses are the same. He says there are many different excesses and the extent these apply to you will depend on the agreement you have reached with your insurer. These include:
There is also an insured excess one can consider. This is a separate policy that can be taken out to cover the excess you have agreed to pay with your insurer. In the event of an accident your excess policy will then fund the agreed excess portion of the claim.
Green agrees with the Ombudsman saying the onus is on the insurer to bring these excesses to your attention at the time the contract is entered into or at any time when there is a change in the excess.
There can be an excess waiver where you do away completely with an excess but you do end up paying a bit more on your premium.
“You need to weigh up your monthly finances and assess your risk and then speak to your insurer if you feel there could be a better option for you,” says Green.
The next important question is, who recovers the excess? The Ombudsman says if someone else caused your loss, the insurer may be able to recover the cost of the claim, including your excess, from that party or their insurer. Your excess can then be reimbursed. There is, however, no obligation on an insurer to recover the excess and the success of the claim depends on a number of factors like if you were able to fully identify the other party; whether they admitted fault, whether there were any witnesses etc. Green says it is worth checking this with your insurer because the Ombudsman agrees that if the insurer does not manage the recovery, you can elect to do this yourself with your insurer’s permission and proceed to recover your excess directly from the third party.
“Not everyone knows this,” says Green, “so definitely worth the extra effort.”
Finally, what happens if there is a dispute?
The Ombudsman advises that in order to get your claim processed quickly, you need to pay your excess, even if you are unhappy with the amount, and then only dispute it. Green says the potential consequence of not paying is that you could, for example, end up having to pay storage costs to the repairer who ends up doing the repairs on your car while you dispute the excess with your insurer.
“In summary it is better, if you have a dispute with your insurer relating to any aspect of your car excess, to first try to resolve it with the insurer. If you are still not happy, then your next step is to contact the office of the Ombudsman for Short term insurance,” concludes Green.
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With effect from 1 March 2019, all employer contributions to MIBCO will be a taxable fringe benefit in the hands of the employee.
In 2017, changes were made to the Taxation Law Amendment Act 2017 – in order to grant bargaining councils an opportunity to become tax compliant with the provisions of the Act, a certain level of relief was provided for non-compliance bargaining councils in respect of employee’s tax that should have been withheld from the members between 1 March 2012 and 28 February 2017. However going forward, bargaining councils are expected to be fully compliant.
From 1 March 2019, employer contributions to a scheme or fund administered by the bargaining council for the benefit of the employee will constitute a taxable fringe benefit in the hands of the employee and must be subject to PAYE. These provisions are not applicable to the extent that the contribution is being made to a retirement fund as the taxation of those contributions are already specifically catered for in the Act.
In the event of bulk contributions made by the employer on behalf of the employees to the funds administered by the bargaining council and the employer is unable to attribute specific contributions to specific employees, the taxable fringe benefit is calculated in respect of the total contributions paid by the employer divided by the number of the employees on behalf of which the contributions are paid.
Since the employee contribution is made ‘after tax money’ and the employer contribution is taxed as a fringe benefit, any payment made by the funds administered by the bargaining council to the employee is tax free, except to the extent that the pay-out is from a retirement fund.
There are two new IRP5 codes to report these contributions
Please note that the fringe benefit value must be included in the remuneration for the purpose of UIF, SDL, ETI and remuneration used to calculate the allowable tax deduction limit for contributions towards a retirement fund.
For any queries in this regard, kindly contact the MIBCO call centre on 0861 664 226.
That wonderful time of year has arrived: RMI is about to transport you into the future! Don’t miss this most exciting annual golf event where the ‘who’s who’ and ‘who knows what’ in the Retail Motor Industry will be doing what they know best, bringing you the latest news and views of everything that there is to know of the industry, while meeting members on the golf course.
The Golf Day will take place on Wednesday 15 May at the exclusive Kyalami Country Club, firing on all cylinders, where metal meets golf balls.
The RMI looks forward to an exhilarating event with a full fleet of 144 golfers paired with company directors, dealer principals, managers, suppliers, contractors, manufacturers and wholesalers all creatively ignited with all in the Retail Motor Industry.
The day’s agenda will include a round of golf, with lots of driving on the course, including halfway-mark and drinking holes, followed by dinner to fuel you up, sparkling prizes, and entertainment from 18h00.
The cost of sponsoring a hole is R4,000 and the cost of entering a 4-ball is also R4,000. Owing to the fact that this will be a prestigious and exclusive event, we strongly feel that you will benefit from the enormous exposure.