Presently, most of the owners of new vehicles in South Africa are pressured into utilizing a vehicle maker’s service centers, repair workshops and spares included in their motor and service plans. In the event that these car owners choose to utilize independent service providers or a repair-service provider of their own choice, car manufacturers punish them by voiding their guarantees.
This has additionally alienated out private workshops and independent service centers, subsequently constraining little to-medium-sized companies’ capacities to change and develop themselves in the segment.
The Commission’s rules stipulate that purchasers will no longer be pressured into conducting in-warranty service, maintenance work or repairs only at endorsed dealers and service providers.
The rules further express that vehicle producers and approved car retailers must permit consumers to fit non-unique parts where a particular part’s guarantee has lapsed, without voiding the parity of the motor vehicles guarantee.
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.
“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. 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.” the commission said.
The cutoff time for the submission of comments has been set to the 16th of March 2020.
A concluded arrangement of rules will be actualized as a major aspect of the Competition Act and will enable specialists to pursue anti-competitive behavior through implementation.
By Noni Nchwe