Motorcycle deregulation to save millions
15 September 2014
Joint release with:
Hon. Josh Frydenberg MP
Parliamentary Secretary to the Prime Minister;
Federal Member for Kooyong
The Australian Government is getting on with abolishing unnecessary red and green tape by today approving the removal of the requirement to modify rear mudguards on new motorcycles to meet unique Australian rules.
This change will involve deleting the mudguard extension specification from the national vehicle standards, known as the Australian Design Rules (ADRs).
After careful review, the Australian Government and state and territory governments have agreed to remove this requirement as it's outdated and has no bearing on vehicle safety.
Abolishing this unnecessary provision will achieve significant efficiencies, with nearly 70,000 new motorcycles no longer required to be retro-fitted with rear mudguard extensions every year.
This change is expected to deliver $14.4 million in industry compliance and manufacturing savings every year, which should lead to lower prices for new motorcycle owners.
Consumers in Australia will finally have access to motorcycles as originally designed by the manufacturers, bringing Australia into line with other major markets including the European Union and Japan.
This initiative is in line with the Australian Government's response to the Productivity Commission's Report on Australia's Automotive Manufacturing Industry to accelerate harmonising ADRs with United Nations Vehicle Regulations.
Harmonisation ensures we strike the balance between appropriate safety standards, in line with international best practice, and consumer access to vehicles at the lowest possible cost.
An important part of the harmonisation process will involve unique Australian content in the ADRs being removed where it cannot be justified.
We expect to announce further reforms in coming months with savings to the vehicle industry and consumers.