New proposals by the Competition Commission will make it cheaper to service your car, and cut the price of car parts and insurance premiums.
This is according to a report in the City Press, which said South African motorists will be the biggest winners of these proposals.
The proposals drafted by the Competition Commission are aimed at addressing anti-competitive practices in the car repairs and parts industry.
As it currently stands, motorists have to service and repair their cars at approved dealers or service repair agents.
If a motorist does not adhere to this rule, they will void their warranty and will forfeit their right for free repairs should something go wrong.
All equipment and accessories also have to be approved by the vehicle manufacturers, which puts them in full control of the car servicing and repairs industry.
New rules coming
The Competition Commission’s proposals will break the car manufacturers’ hold on the motoring industry by allowing car owners to service or repair their vehicle at any repair company without voiding their warranty.
This, the Competition Commission said, will result in more choice and lower prices for car services, repairs, and parts.
Because of the lower parts and repair prices, it can also lead to lower vehicle insurance premiums.
“I believe it will have a positive effect. Cheaper prices and better service. Work will be done more quickly too as there’ll be more choice,” Wynand van Vuuren, spokesperson for King Price, said.
Big win for Right to Repair Campaign
These new proposals are a big win for the Right to Repair Campaign (R2RC), which fights for consumers to have their vehicles serviced, maintained and repaired at a workshop of their choice.
“There is a need for a fair and competitive regulatory environment that enables freedom of choice for the consumers and that gives aftermarket SMEs a chance to stay in business,” the R2RC said.
“Only strong, entrepreneurial competition will result in advantageous pricing for consumers and ensure that local businesses can continue to provide quality service in the neighbourhood they serve and support.”