March 2023
www.autoMobil.co.za
the deepest business reach into the sa retail Motor industry
contents
coluMns
03 . Driver’s Seat: Jakkie Olivier, CEO of the RMI
03 . Editor’s Letter: Reuben van Niekerk
32 . Tech Talk: Is the unavailability of LRP a concern
34 . Wellbeing: Earning the trust of your co workers
35 . Finance: Systems, procedures, processes and policies
news
05 . News
12 . Industry News
16 . Wages
24 . Association News
features
20 . Money laundering and terrorist financing controls needed
26 . Keeping abreast of global standards
28 . Interview: Philip Myburgh, a man of many talents
34 . Legal: Agreeing to disagree
36 . Labour: Trading places
regulars
38 . New models: Ford Ranger Raptor and Fiat 500X
40 . Motorsport: Going racing in the 2023 Toyota GR Cup
41 . Member Update
42 . Sales: January 2023 vehicle sales figures
Editor
Reuben van Niekerk
reuben@automobil.org.za
Sub-editor
Suzanne Walker
Regular contributors
Roger Houghton
Nicol Louw
Publisher
Wilken Communication Management
Tel: 012-4604448
Advertising Sales
Greg Surgeon
greg@automobil.org.za
Automobil is produced monthly by Wilken
Communication Management for the Retail
Motor Industry Organisation. The views and
opinions expressed in the publication are not
necessarily those of the publishers or the Retail
Motor Industry Organisation. While precau-
tions have been taken to ensure the accuracy
of advice and information contained in edito-
rial or advertisements, neither the publishers
nor the Retail Motor Industry Organisation can
accept responsibility for errors, misrepresenta-
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March 2023
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March 2023
DRIVER’S SEAT
For information on the RMI and its workings, visit www.rmi.org.za or call 011 886 6300
EDITOR’S LETTER
ver the last 12 months we have witnessed a disconcerting increase
in the amount of illicit trading activity taking place in the retail
automotive sector. This ranges from parts that do not adhere to a
specific standard and therefore not fit for purpose, proliferat-
ing the market, illicit trading in tyres, to informal and illegal
street mechanics who are pilfering work from legitimate
registered businesses and operating outside of the con-
fines of the law.
This growing culture of regulatory non-compliance in
the automotive aftermarket is not only creating an uneven
playing field for many accredited business owners in the
sector, but also placing consumers at risk - and is in
fact illegal.
The objective of the RMI is to promote, pro-
tect and encourage the interests of mem-
bers and the motoring public by setting
and maintaining proper standards of ser-
vice, and ethical trading conditions in the
industry. This talks directly to the impor-
tance of regulatory compliance so that we
are aware of, and take steps to comply with relevant laws, policies, and
regulations and to make sure we always act responsibly and within the
ambit of the law.
The flip side of compliance is self-regulation, ensuring we are continually
aware of what is going on around us. While we must endeavour to work
as closely as we can with law enforcement agencies and other regulato-
ry bodies, we cannot rely on them to provide a complete solution to the
problems being experienced in the sector. It is very encouraging to see the
proactive steps many of the RMI’s associations are taking in this regard. In
the petroleum sector, SAPRA for example, has had much success in creat-
ing awareness through its hotline, and the fines, penalties and suspensions
implemented by the authorities have made activity by illicit operators sig-
nificantly harder. TEPA is following suit with a TEPA Whistle-blower hotline
which it believes will also make a significant impact on curbing illicit trade.
The RMI encourages each of its members to prioritise compliance and
self-regulation in an effort to create a cleaner, safer and more equitable
business environment.
Jakkie Olivier
RMI Chief Executive Officer
A focus on compliance
and self-regulation
uring the 2023 National Budget recently presented by
Finance Minister Enoch Godongwana government ac-
knowledged that constraints in logistics had negatively
affected economic growth and employment. Shocking is the
fact that more than a quarter of long-distance freight traffic
has shifted onto the road in the past five years as a result of
severe deterioration of the freight rail network.
“This is due in large part to historical underinvestment in
the network. Prolonged power failures and poor operational
performance of transport industries continue to hamper op-
erations and investment in manufacturing, mining and agri-
culture. Several reforms are under way to improve the perfor-
mance of the transport sector, specifically freight rail and to
improve the capability of the state.” said Godongwana.
More important than the acknowledgement, was the invita-
tion to the private sector to get involved in a potential solution.
Government is currently pursuing greater competition in trans-
port and logistics through third-party access to the freight rail
sector which is now in a pilot phase. In addition, several other
reforms are in place to support recovery in the transport sector,
which were also pointed out in the budget speech including;
Q The Economic Regulation of Transport Bill, which will es-
tablish the transport regulator, has been tabled in Parlia-
ment.
Q Transnet is taking steps to improve operations in key cor-
ridors, for example software upgrades that will increase
efficiency through better signalling.
Q Additional intervention in the form of steps to prevent theft
and vandalism and resolving legal challenges in relation to
locomotive procurement.
Q The operations and infrastructure management functions
of Transnet Freight Rail are due to be separated by October
2023, a step intended to facilitate competition and improve
pricing.
It is great to see that the transport industry formed such a
big part of this year’s budget speech. We can now only hope
that these measures are practically put in place because they
should have positive effect on the economy as a whole while
also contributing to improved road safety.
Reuben van Niekerk
reuben@automobil.org.za
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