February 2020

This new year brings reflection on the events that have challenged yet inspired the outpouring of the renowned camaraderie and the Aussie generosity of spirit. The MTA Queensland members spread across the State, each has diverse experiences on which to reflect. There is the common bond of helping in fire, flood and drought events and the sustained hope for improving economic circumstances for all. In the coming year, may your challenges be few and undertakings successful.

MTA Queensland members and the State’s automotive value chain experience the economic conditions that stem from drought, fire and flood events. It was the impact of these on the membership – including rural, regional and remote Queenslanders – that shaped the development of the priorities outlined in our pre-budget submission to the Queensland Government for the drafting of its 2020-21 State Budget. It will be early this year, delivered on 28 April.

The automotive sector has experienced economic conditions that, possibly, are the most demanding since the mid-20th century, without signs of improvement in the near term. It is to the forthcoming State Budget that the Association and the entire automotive value chain looks to provide certainty in the economic environment; increase consumer and business confidence; and to stimulate economic growth so that the private sector is encouraged to commit to new investments and increased employment.

We advocated it would be appropriate for the State Budget to reflect the severity of economic conditions and provide significant relief from taxes and stamp duties in order to stimulate consumer demand and underpin economic growth to ensure any further deterioration is avoided. Specifically, we submitted priorities for general application – that is to comprise all business and consumers in declared drought and fire disaster areas.

These included:

  • near term relief by substantially discounting business and private registration for 12 months commencing from the beginning the 2020-21 financial year;
  • a moratorium on stamp duties levied on general insurance policies, workers compensation and motor vehicle insurance policies for 12 months commencing from beginning of the 2020-21 financial year; and
  • the abolition of the premium on motor vehicle duties introduced on 1 July 2018 which increased the amount of registration duty payable on vehicles valued above $100,000.

An additional priority was for funding support for skilling our existing and future workforce. These included:

  • Autocamp funding for the popular school holiday pilot non-accredited automotive course programs for male and female school students;
  • Mentoring program funding to invest in matching people to jobs and facilitating the apprentice’s and trainee’s progression;
    Maintaining current investment in priority 1 and 2 qualifications;
  • Provision of incentives for qualified trades persons to become Vocational Education and Training (VET) trainers/assessors; and
  • Funding support to existing skills programs that include entrepreneurship/innovation; inclusion programs (i.e. women in trades); engagement with employers on skills utilisation and productivity.

Challenges and Opportunities

As identified in the Carmageddon series, transportation and mobility is undergoing a period of significant disruption that is challenging traditional methods of transportation, supply chain connectivity and regulation. The establishment of the Innovation Hub (MTAiQ) ensured that the membership and the automotive industry was in the vanguard of emerging technologies and innovation occurring across the industry. The continuing changes in mobility and connectivity emanating from massive research and development demands ongoing scrutiny.

Recently, I had meetings to discuss research opportunities for the MTAiQ, that would be between MTA Queensland, the Transport and Main Roads Department and iMove, which is Australia’s leading applied research centre in the transportation and mobility sector. Its research activities address challenges and develops solutions in core areas that include intelligent transport systems and infrastructure; end-to-end freight solutions; and enhanced personal mobility. The discussions indicate there are several joint research project opportunities in the subject areas which would be at a PhD (Doctor of Philosophy) level.

In previous From the Desk of the CEO, I’ve referred to the Association’s five-year project with the Australian Research Council (ARC) Training Centre for Multiscale 3D Imaging, Modelling and Manufacturing and the role of the MTAiQ.

I’ve had several meetings with Queensland University Technology and ARC personnel to discuss the project which involves two research areas: the examination of the potential for 3D printing in the automotive industry; and the examination of how quality control may occur e.g. original parts, parallel parts and counterfeit.

These two examinations will have a scientific focus. There is a third project, which examines the recycling and use potential of end-of-life cars and is oriented towards how business may commercialise opportunities from these new technologies. Each of the projects are at the PhD level and we have agreed as a priority to recruit suitable candidates.

In several previous From the Desk of the CEO, I’ve mentioned collaboration with the Ipswich City Council (ICC) on innovation and connected vehicles. Considerable progress has been made which includes the release of a discussion paper on the strategic intent of the Mobility Problem Definition and Solutions Project. This is led by the ICC in partnership with MTA Queensland under a State Government Advancing Regional Innovation Program partnership with support from advisors PricewaterhouseCoopers (PwC).

The project seeks to define and generate solutions to challenges in collaboration between government, industry and academia in the mobility technologies and emerging transport services sector. This will begin by first collaboratively defining the problems and opportunities followed by identifying and assessing potential solution options.

A range of infrastructure and non-infrastructure solutions will be identified and considered. Preliminary discussions with MTA Queensland and relevant Departments suggest that the co-location of policy and technological development has the potential to drive a closer relationship between policy and mobility/transport technological development and adoption.The means through which this could be delivered will leverage the strengths of ICC and the relative advantages of the region.

At present the discussion paper is in the stakeholder engagement processes which will conclude at the end of March.

The Diary

In December, I attended a design forum hosted by the University of Sydney and organised by IP Australia to discuss intellectual property right and future regulations.

Meetings with industry stakeholders occur regularly. The most recent was with the Australian Automotive Dealers Association’s Chair Terry Keating, Chief Executive Officer (CEO) James Voortman, former CEO David Blackhall and the Operations team to discuss new arrangements and commitment to ongoing collaboration.

And the last thing

The MTA Queensland family, along with all Australians, shared the horror of the fires that caused the loss of lives, destroyed homes and ruined the natural and built environment. Our thoughts are with them as they recover and rebuild.

Each of us would know a person, people or places impacted by the fires.

One place of significance is Kangaroo Island which I personally visited in my previous defence career. It truly is nature’s paradise with its unique ecology, native bushland and wildlife that complements the tourism and business activities.

It remains open for business despite the ravages of the ferocious fire which utterly destroyed the popular Southern Ocean Lodge.

Until next month, as Henry Ford, the industrialist and the founder of the Ford motor company said, ‘execute ideas with enthusiasm . . . as it is the bottom of all progress’.

Source: Motor Trader E-Magazine (Feb 2020)

5 Feb 2020

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MTA Queensland acknowledges the traditional owners of the land on which we live and work- the Yugambeh and Yuggera people. We pay our respects to elders past, present and emerging. In the spirit of reconciliation, we will continue to work with traditional custodians to support the health and wellbeing of community.