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National Motor Vehicle Theft Reduction Council “DISMANTLERS’ DO” APPRA 2003 Conference Proposed Code of Practice for Auto Parts Recyclers Why have a Code of Practice? Stolen parts trade costs approximately $300 million per year Restrict entry of stolen parts to legitimate industry
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National Motor Vehicle Theft Reduction Council “DISMANTLERS’ DO” APPRA 2003 Conference
Proposed Code of Practice for Auto Parts Recyclers
Why have a Code of Practice? • Stolen parts trade costs approximately $300 million per year • Restrict entry of stolen parts to legitimate industry • Marginalise unsound operators • Improve business opportunities to accredited operators • Improve dissemination of intelligence
Why Not Simply Legislate? • Difficult to get uniform legislation across States • Lack of enforcement of regulations • No positive business returns • Doesn’t marginalise unsound operators
How has Proposed Code been Developed? • Direct discussions with over 200 recyclers • Mail out to 1400 recyclers • APPRA and MTA’s consulted • Police, Offices of Fair Trading • Expert Reference Group
What are the Benefits forBusinesses? • Participation is voluntary • Support the promotion of a “clean” image for the industry • Creates a preferred supplier status • Benefit from industry wide marketing • Increase market share for accredited businesses
What are CustomerAdvantages? Customers can be confident that: • Procedures are in place to ensure all parts are from legitimate sources • The business meets all appropriate regulations • They are dealing with a fit and proper business
How are Customers Protected? • “Guarantee” on origin of part • Documentation provides audit re origin of part • The Partsafe administration office can investigate disputes
Who Would be Eligible to Become Accredited? • Must be a registered business with ABN and established premises • No convictions for dishonesty or violence within last three years • Meet all Local, State, Territory and Commonwealth regulations • Agree to meet the requirements of the Accreditation Agreement
What are the Main Requirements of the Code? • Check on legitimacy of acquired stock • Check/record identity/source of vehicles • Check/record identity of people selling parts • Label prescribed parts • Restrictions on cash payments • Record source of part on invoice • First preference to other accredited suppliers
What about Existing Procedures? • Partsafe does not require a standardised record. Existing records may suffice • Requirements are compatible with existing NSW and SA requirements • Onus on businesses to show their procedures meet Partsafe requirements
What is the Cost? • The operating costs/subscriptions are still to be determined
What are the Penalties for Breaching the Code? • Subject to investigation – warning or loss of accreditation • There will be a right of appeal
What Parts are Subject to the Code? Body Panels: • Body shells (and major sections) • Front fenders (left and right) • Doors (all) • Bootlids and tailgates • Bonnets (“hoods”) • Rear quarter panels (left and right) • Chassis (“frames”)
What Parts are Subject to the Code? Mechanical: • Engines • Transmissions (both automatic and manual) • Radiators • Air-conditioning condensers
What Parts are Subject to the Code? Other: • Airbags and pyrotechnic seatbelt pre-tensioners • Seats • Headlamp assemblies • Car audio / audio-visual / satellite navigation systems • Alloy wheels
Where to From Here? • Distribution of the “Exposure draft” • Two months comment period • Decision on whether to proceed to “implementation phase”