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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2013-07-04 Daily Xml
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MOTOR VEHICLES (PERIODIC PAYMENTS) AMENDMENT BILL

Introduction and First Reading

The Hon. T.R. KENYON (Newland—Minister for Manufacturing, Innovation and Trade, Minister for Small Business) (10:35): On behalf of the Minister for Finance, obtained leave and introduced a bill for an act to amend the Motor Vehicles Act 1959; and to make related amendments to the Stamp Duties Act 1923. Read a first time.

Second Reading

The Hon. T.R. KENYON (Newland—Minister for Manufacturing, Innovation and Trade, Minister for Small Business) (10:36): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation inserted in Hansard without my reading it.

Leave granted.

The Motor Vehicles (Periodic Payments) Amendment Bill 2013 makes amendments to the Motor Vehicles Act 1959 to provide an additional option for motor vehicle registration renewal payments, that is, by monthly direct debit. This will offer flexibility to vehicle owners and help families manage their finances by allowing more frequent, but smaller payments to be made by a convenient, automated means.

The Bill will enable motor vehicle registration and associated fees, including third party insurance premiums, to be paid periodically by a debit to a specified account.

Currently, the Act does not allow vehicle registration periods to be less than three months nor does it allow registration to be paid by means of an automated debit or charge to bank or credit card accounts. The Bill rectifies this by allowing the Registrar of Motor Vehicles to create a 'Periodic Payment Scheme' and requires the Registrar to detail the terms of the Scheme by notice published in the Gazette.

The Bill establishes the framework for the Scheme and the Gazette notice will provide the detailed rules for its operation. This will enable the Scheme to be modified to embrace technological advances whilst still clearly setting out participants' obligations.

This Bill sets out minimum requirements for the Scheme. These include:

identifying the methods by which a person can apply to be part of the Scheme;

how a person can cancel their participation;

setting a minimum period before the expiry of a vehicle's registration when a debit payment can be made (to avoid the risk of the owner driving unregistered);

the circumstances where the Registrar may cancel a person's participation in the Scheme;

the consequences for failing to comply with the Scheme.

The Registrar may also specify classes of vehicles and types of registration eligible for the Scheme. It is intended initially that heavy vehicles and vehicles registered conditionally will not be able to be reregistered via direct debit. Light vehicles including motor bikes and trailers will be eligible.

So that the Scheme runs smoothly, the Bill requires participants to notify the Registrar of any change in their particulars or circumstances that may affect their registration fees. It introduces an offence provision for failure to comply with the requirement which corresponds to the existing offence for not notifying of change of name or address.

The Bill also amends the Act and the Stamp Duties Act 1923 to enable payments which occur at the same time as registration, such as compulsory third party premiums and stamp duty, to be paid for the same period of the registration.

The Scheme will provide for participants to enrol and manage their registration electronically through a customer portal. Participants will be notified by email or short messaging service (SMS) that their registration fees are due; notifying when a payment will be attempted and providing notifications of failed and successful debit or credit card transactions.

Registration payments will have to be received by the Registrar a set time before the expiry of the registration. The participant will receive reminders, but if payment via direct debit cannot be effected, the participant will be notified that payment must be made through the other registration channels, such as at a Customer Service Centre or by credit card over the phone. Vehicle owners continue to be responsible for ensuring that they do not drive their vehicles whilst unregistered.

Vehicle registration fees represent a significant regular payment for many South Australian families. This Bill, by allowing the creation of the Periodic Payment Scheme, will have the positive effect of enabling the public to manage their bill paying effectively and to lessen the likelihood of people inadvertently forgetting to pay their registration fees. This will particularly benefit families, concession holders and others in the community on limited budgets.

I commend the Bill to Members.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

3—Amendment provisions

These clauses are formal.

Part 2—Amendment of Motor Vehicles Act 1959

4—Insertion of Part 2 Division 3A

This clause inserts new Division 3A into Part 2 of the principal Act. The new Division consists of new section 24A, the effect of which is to enable the Registrar to establish a scheme for the periodic payment of registration renewals and associated fees. The new section requires the scheme to be published in the Gazette, and also makes procedural provisions relating to the scheme, as well as creating an offence where a person in the scheme fails to notify the Registrar of certain changes.

5—Amendment of section 99A—Insurance premium to be paid on applications for registration

This clause makes a consequential amendment to section 99A of the principal Act in respect of how the periodic payment scheme affects that section.

Schedule 1—Related amendments to Stamp Duties Act 1923

1—Amendment of Schedule 2—Stamp duties and exemptions

This clause makes a consequential amendment to Schedule 2 of the Stamp Duties Act 1923 in respect of how the periodic payment scheme affects the payment of stamp duties under that Act.

Debate adjourned on motion of Mr Gardner.

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