The National Greenhouse and Energy Reporting System (NGERS) will start on 1 July 2008, now the Australian Government has approved the regulations that will apply to the system.

Trucking companies will have to lodge mandatory reports under NGERS in 2008-09 if they:

• purchase more than 2.59 million litres of diesel in any state or territory, depending on how much electricity and other fuels they use; or
• use more than 12.95 million litres of diesel in total, again depending on how much electricity and other fuels they use.

The total corporate threshold will decline to the equivalent of 9.01 million litres of diesel in 2009- 10 and 5.18 million litres of diesel in 2010-11.

Companies have until 31 August 2009 to apply to register under the scheme and until 31 October 2009 to lodge their first report, but are advised to start keeping records now.

For more information, contact the Department of Climate Change on 1800 081 831 or go to Climate Change Website

A recall of a number of Ford Transit RWDs has been announced due to a problem with axle shaft end play.

Axle shaft wear will cause axle noise and may be noticed as a change in the vehicle’s handling characteristics. In cases of severe wear it may be possible for the axle shaft retaining clips to detach, resulting in the axle shafts “walking out” of the casing.

Affected vehicles may exhibit a wear condition within the rear axle, between the axle shafts and the differential pinion shaft.

The recall covers certain Transit RWD built from 15 March 2004 to 1 March 2006. Ford say known owners will be contacted by mail. For further information, contact any authorised Ford Dealer or Ford’s Customer Relationship Centre on 1800 503 672.

Trucking companies that operate other machinery such as bulldozers, cranes and backhoes will benefit from the extension of the fuel tax credits scheme on 1 July 2008.

Trucking companies are already entitled to claim a fuel tax credit of 18.51 cents per litre on the fuel they use in heavy vehicles on a public road. In addition, it is already possible to claim for activities such as agriculture, forestry, fishing, mining, marine and rail transport, and electricity generation.

From 1 July 2008, though, it will be possible to claim credits for the diesel and petrol used in a whole range of other business activities, such as construction, wholesale, retail, and landscaping. The only exceptions are aviation fuels, alternative fuels, and fuels used in light vehicles of 4.5 tonnes GVM or less travelling on a public road.

The credit rate for the additional activities included in the scheme will be 19.0715 cents per litre.

For more information on the extension of the fuel tax credits scheme, contact the ATO on 13 28 66 or go to ATO Website

The ATA has welcomed the appointment of Michael Deegan as the Australian Government’s first Infrastructure Coordinator. Deegan will run the day to day operations of Infrastructure Australia and will assist the Infrastructure Australia Advisory Council, which is chaired by Sir Rod Eddington.

ATA Chairman Trevor Martyn said that Deegan’s wealth of experience as Chairman of the National Transport Commission, as well as his willingness to consult with the Australian trucking industry, made him an ideal choice for the job.

“The ATA will use our strong relationship with Mr Deegan to stress the importance of maintaining road funding, because fixing the bottlenecks on Australia’s roads will boost the economy and improve safety,” Martyn said.

The ATA say Deegan will need to consult widely with the industry as he works up the details of the infrastructure audit and develops the Australia’s first national infrastructure priority list, which is due to be presented to CoAG by March 2009.

The Government has also charged Infrastructure Australia with recommending regulatory reforms to improve the development and use of Australia’s transport networks. The ATA is arguing that Infrastructure Australia and Mr Deegan must begin by implementing the transport reforms that have been promised but not yet carried out.

The ATA have published a useful guide spelling out the fuel price issues as they currently stand and outlining some of the major bones of contention.

They have listed their points below:

• The average price of diesel in Australia has increased from about 134 cents per litre in October last year to about 184 cents per litre.
• The price of diesel has increased because China’s demand for diesel is surging and all the refineries in Asia are running flat out.
• The Australian price of diesel is tied to the international price because about 30 per cent of the diesel sold in Australia is imported.
• The system that links Australian prices to international prices is called import parity pricing. The Singapore Gasoil price is used as the benchmark for diesel, because Singapore is the region’s major oil distribution and refining centre. Australia imported 7.7 billion litres of refined petroleum products from Singapore in 2006-07.
• For a moment, imagine the Government decided to force fuel companies to sell diesel in Australia for less than the international price. The companies would stop importing diesel, because they would have to sell it here at a loss. In addition, Australian refiners would export their diesel production because the returns would be higher. The result would be immediate and devastating fuel rationing.

• The Australian Government imposes a fuel tax of 38.143 cents per litre on petrol and diesel. The Government’s income from the tax does not increase when the price of fuel goes up, because it is calculated in cents per litre, not as a percentage.
• Trucking operators receive a fuel tax credit of 18.51 cents per litre, so the effective fuel tax paid by the trucking industry is 19.633 cents per litre.
• In addition, Queensland trucking operators and motorists receive a special fuel tax subsidy of 8.354 cents per litre from the state government.
• The other tax on fuel is the GST. The Australian Government collects GST on petrol and diesel on behalf of the states and territories. The GST rate is 10 per cent, so the state and territory governments get more money from this tax when the price of fuel goes up.
• But trucking operators registered for GST can claim a credit for all the GST they pay their suppliers, including the GST they pay on diesel.
• As a result, trucking operators pay a total of 19.633 cents per litre in tax on their fuel, and less in Queensland. As the table shows, this amount does not change when the price of fuel goes up.

The Australian Trucking Association says it does not support the trucking industry shutdowns that some people are proposing for the two weeks from 28 July 2008.

ATA Chairman Trevor Martyn said he understood the hardships that many in the industry were going through, but warned that shutdowns were not the answer.

“Many owner drivers and small trucking companies are in crisis because of the spiralling price of diesel, which has gone up 50 cents per litre since last October. Many people in the trucking industry are now watching their life’s work collapse around them,” Martyn said.

“But going on strike and standing around truck stops for two weeks isn’t the answer. The price of diesel is going up across the world because of China’s massive demand for fuel. Holding a two-week strike in Australia will have no effect on prices at all.

“Instead of going on strike, I urge every owner-driver and trucking operator to think through how their business can deal with the rising price of fuel. They need to:

• understand their costs and review them regularly: not once a quarter or once a year, but every week;
• negotiate with their customers to increase their freight rates or impose a fuel surcharge.

“Some companies will need to increase their freight rates by more than 20 per cent; and most importantly, refuse to accept jobs that do not pay enough to cover their costs.

“Another great step would be to join one of the ATA’s member organisations. They are a source of expert advice and provide their members with tools like downloadable cost calculators to make the job easier.

“The ATA’s member organisations include state associations, sector associations and the Transport Workers Union, so there’s an organisation that’s right for everyone in the industry.

“In contrast, some of the people leading the calls for shutdowns are associated with a fringe political group centred on north Queensland, the Southern Cross Party,” he said.

Martyn said the trucking industry was desperately concerned about the introduction of the new fatigue management laws in September.

“The new laws will be an absolute fiasco, because the state and territory governments are out of control and have ignored the industry’s need for consistency across the state borders,” Martyn said.

“None of the states have rest areas that meet the national guidelines, even though they all promised to bring them up to standard by the end of 2008. The only solution is for the Australian Government to take over heavy vehicle regulation. The states have had their chance and failed; we need national regulation with strong involvement from the industry,” he said.

Nominations are now open for the 2008 Apprentice of the Year Awards. The Awards are open to apprentices of CVIAQ member companies and their Queensland based branches that have or will be finalising their formal training in 2008. See the video here.

A number of changes have been made to the eligibility criteria to enhance the opportunity for member companies to nominate potentially worthy apprentices. An adjustment to an existing rule allows employers to nominate up to two apprentices from any trade calling. A criteria sheet is now included as part of the nomination form material to guide employers in determining the eligibility of their apprentice nominees.

A significant addition to the awards nomination process is the incentive for apprentice nominations from member company’s Queensland based branches. The interview with the judging panel will take place, where possible, via a video conference link through the TAFE colleges. If deemed worthy of an award, CVIAQ will fund the travel and accommodation of the apprentice to be present at the CVIAQ Annual Dinner and Awards Night on the 11th October for the Apprentice of the Year Award presentation.

Awards will be presented to finalists by CVIAQ President, Rob Brown along with representatives of sponsors, Warby Tools and National Transport Insurance.

Nominations will close on Friday 29th August with the judging to take place in September.

Please follow this link to download the nomination form and criteria sheet

N.B. Employers please remember that nominations for any trade calling are limited to a maximum of two apprentices in the final stages of their training per member company. This includes any nominations from branches.

The AustRoads Freight Program is conducting a survey on possible additional national access conditions for vehicles under Performance Based Standards and other high productivity vehicles.

They have proposed four packages for consideration including:

• A set of access conditions that would apply to all PBS vehicles and another set for all non-PBS higher productivity vehicles
• A set of access conditions that would apply only to higher productivity vehicles using high volume roads or urban areas
• Case by case specification of access conditions for PBS vehicles, set by the PRP. A minimalist set of access conditions would be applied to all non-PBS vehicles.
• Apply a minimalist set of conditions to all PBS vehicles

AustRoads says the focus for access conditions for heavy vehicles has shifted from dimension and mass limits, to the performance of vehicles against agreed standards that are consistent with a changed approach overseas. They also say this has seen the development of new technology that makes it possible to achieve even higher performance and road safety standards.

The AustRoads approach ignores earlier directions by the Council of Australian Governments (COAG) about delivering PBS as originally proposed and has expressed its concern that the proposals for ‘add on hurdles’ will create further barriers to the productivity and associated safety gains promised when PBS was approved by the transport ministers in October 2007.

ATA Chairman Trevor Martyn said road agencies need to get on with the job of opening up the nation’s roads to high productivity vehicles and to stop imposing restrictions on combinations with proven safety records.

“The use of higher productivity vehicles will meet the community’s demand for freight while providing genuine safety benefits from less exposure to heavy vehicles on our roads,” Martyn said. “If the AustRoads proposals go ahead they will cut the potential for productivity and safety gains off at the knees.

“PBS was about classifying the road system into four environments and then allowing the industry access based upon compliance with safety and infrastructure standards. There were 20 standards proposed and 16 confirmed.

“PBS now has seven road classification standards, but only two states have mapped or migrated any of their road networks into these classifications. We are not aware of any state that has finished mapping all seven classifications,” Martyn said.

He said the usefulness and success of PBS would hinge on uniform implementation across all jurisdictions and a single centralised rule that compliance, with the relevant standards, equals access to the relevant roads.

With the next series of EPA regulations quickly approaching for the US truck market, Daimler Trucks North America has begun explaining why it will use SCR on its Detroit Diesel engines.

In a podcast posted on their website, president and CEO Chris Patterson discusses the benefits of using BlueTec SCR technology.

In the podcast, Patterson explains how this new technology will provide cleaner emissions while improving fuel economy.

According to Daimler research, both testing and real-world operations in Europe are show a 3-5% improvement in fuel economy. Daimler senior vice-president of marketing Mike Delaney has already hailed BlueTec to be “The ultimate solution” in an economy where fuel economy is increasingly critical.

The podcast goes into more detail on why Daimler has decided to pursue SCR technology to meet EPA2010 emissions standards.

A former manager of a small trucking business in Coffs Harbour, NSW, has been sentenced to weekend detention (with 12 months to serve) in the Newcastle District Court after pleading guilty to fuel excise fraud of almost $70,000.

The manager submitted 10 false claims totalling $68,661 under the Energy Grants Credit Scheme between June 2002 and July 2006. When subjected to an audit, he failed to provide any supporting documentation to support his claims.

The Energy Grants Credit Scheme was abolished in mid 2006 and replaced with the Fuel Tax Credit Scheme. The ATO is expanding the scheme to cover a wider range of activities such as fuel used in construction, landscaping and property management.

ATA Chairman Trevor Martyn has urged trucking companies to contact the ATO to assess their eligibility to claim fuel tax credits.

“The expansion of fuel tax credits will benefit trucking companies that operate other machinery such as backhoes, bulldozers, cranes, excavators and even chainsaws,” Martyn said.

More information on the fuel tax credits scheme can be found at the ATO Website or by contacting the ATO on 13 72 26.