Logistics News

Single truck regulator could save industry $1.7b

A single national regulator for heavy vehicles would deliver industry savings of $1.7 billion, according to analysis commissioned by trucking

A single national regulator for heavy vehicles would deliver industry savings of $1.7 billion, according to analysis commissioned by trucking group Natroad.

The report, which NatRoad says was motivated by increasing frustration within the industry at the inconsistency of regulation across state and territory borders, concludes “uniform legislation administered by a single, national, statutory regulator,” is the only viable option available.

Six ‘key findings’ were made in the report, which highlights the ineffectiveness of cross-border regulations on the transport and logistics industry.

The report says duplication as well as a lack of consistency of regulatory requirements between jurisdictions, lack of guidelines in complying with the regulatory requirements, the impracticality of some regulations, and poor enforcement and administration are all problem areas and reasons to switch to a national governing body.

The highlighted problems, according to the report, can be put down to ‘key elements’: different rules, regulations, skills and experience requirements for heavy vehicles in different parts of the country, different priorities and degrees of direction in each state and territory; and the focus on heavy vehicle regulation in separate states without the consideration these might have nationally.

Should the implementation of a uniformed legislation run by a national heavy vehicle regulator (NHVR) go ahead the industry would gain a number of other benefits, not just a $1.7 billion saving, the report says.

“NatRoad estimates the quantifiable benefits … come mainly from reductions in compliance and training costs within the industry.

“These cost savings are estimated to be $1,430 million and $254 million respectively in present value terms,” the report states.

The cost of setting up a NHVR would be largely confined to establishing the organisation itself.

Information in the report also outlines the fact any proposed NHVR would need to have clear roles and responsibilities and the power to enforce any national regulations.

Political leadership skills were also highlighted as being vital to the success of a single national regulator as well as the possession of credibility with the heavy vehicle industry.

Should a national regulator option become a reality the report suggests further analysis is carried out to “give careful consideration of the governance and organisational structure of the NHVR”.

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