SAVRALA Manufacturer of the Year 2006 Awards

Congratulations to all the winners!

Overall Leasing Rental
Gold: Nissan SA
Silver: Ford Motor Co. of SA
Bronze: Hyundai Automotive of SA
Gold: Nissan SA
Silver: Ford Motor Co. of SA
Bronze: General Motors SA
Gold: Toyota SA
Silver: Hyundai Automotive of SA
Bronze:  General Motors SA

Manufacturer of the Year 2006
Nissan South Africa


For the fourth consecutive year, Nissan SA has lead the field,
taking Gold in both the Overall and Leasing categories.

Nissan – still on top
Nissan is the Southern African Vehicle Rentaland Leasing Association’s (SAVRALA) Manufacturer of the Year for the fourth consecutive time – setting a new record in the process – despite slipping slightly in the overall scoring in a year that saw some significant shifts in the placings in the two sections that comprise the competition. Ford/Mazda finished second overall with the first of importers, Hyundai, continuing its stunning improvement to take third place.

Colin Windell, publisher and editor of Autonews, reports:

Nissan’s overall score of 68,6 was 0,3 down on their winning score from last year and 2,7 down on its 2004 score, the company able to secure top slot with a win in the Leasing Section where its score improved by 5,6 over 2005 – enough to counter the drop of 6,3 recorded in the Rental Section.

Ford/Mazda was just two points behind Nissan in the overall tally but its Leasing improvement of 1,8 was not enough to offset the 5,5 point drop in the Rental Section. Hyundai stole third place with an absolutely dramatic improvement of 19,2 points in the Leasing segment, giving it an overall improvement for the entire competition of 9,0 points – the only company to show an improvement other than Renault which placed eighth overall with an improvement of 1,4.

Roel de Vries, director Sales and Marketing for Nissan says: “Nissan SA is ecstatic to be awarded this recognition for the fourth consecutive year.

“Not only is this a record within the history of the Awards but it re-affirms Nissan’s dedication and efforts to Customer Focus are firmly entrenched as company values and recognised as such by our key customers.

“It is no secret the Rental, Leasing and Fleet Management Industries are extremely important to Nissan SA and as such we invest much resource in meeting the unique needs of this market and creating business partnerships with them. The accolade of SAVRALA Manufacturer of the Year 2006 means that the path we are on is the right one.

“I thank SAVRALA and all its members for this honour – we will celebrate this record vigorously and continue to aim at being the benchmark Manufacturer to the Industry”.

In the Rental Section the Gold went to Toyota, which also won this section last year. It finished on 65,8 points, 1,3 ahead of Hyundai and 4,3 ahead of third-placed General Motors. Hyundai improved its position in this section, coming from sixth last year, while General Motors moved up to third from seventh. Fourth place went to Volkswagen followed by Ford/Mazda, Nissan and Mercedes-Benz.

Gold in the Leasing Section went to Nissan with 76,8 points with Ford/Mazda improving by one place to take the Silver Award ahead of last year’s category winners, General Motors. Hyundai finished in fourth place ahead of Toyota, Volkswagen and Mercedes-Benz.

Only Renault managed to improve its score compared to last year in the Rental category, the final average of all scores down by 1,1 points on last year. In the Leasing segment the overall average was 1,9 points up on last year.

Anthony Calcutt of KA Smart, the company responsible for analysing the results, says: “In the Leasing section Nissan have managed to regain their top position from two years ago at the expense of GMSA which falls to 3rd, which in turn gives up its number two spot to Ford/Mazda in for the 5th time in the last 7 years, to this position.

“Big improvements are seen in ‘Communication and Marketing’ across the board with performance in the remaining categories remaining pretty much the same as last year.

“Hyundai has once again shone as the one manufacturer that managed to significantly increase their scores in every area.

“In the Rental section Toyota once again takes top honours followed by two manufacturers that are both new to the top three – Hyundai in 2nd and General Motors in 3rd, both moving up four places from their previous position.

“Not many manufacturers managed to better their scores from last year with the exception of Renault who were the only ones to improve in ‘Communication’, ‘Support’ and ‘Maintenance’. The ‘Value’ section, which includes things such as Residual Values, Discount Structures, Labour Rates and Parts Pricing is one section where the most improvements can be seen.

It should be noted that there were some improvements made to the Rental questionnaire which could impact on the direct performance comparison over last year’s scores.

“Just as last year was a close race, this year sees the top four positions being separated by only two and half percentage points. With more manufacturers putting greater effort into the issues that are important to the SAVRALA members and their businesses, next years’ race should be really exciting.”

“Consistent performance is the key to the success of tonight’s winners’ and I would like to congratulate and thank them for the outstanding levels of service and support afforded our members in the past 12 months,” says SAVRALA 2005 – 2006 president, Sherl Camera.

“In particular, I must cite Hyundai’s two wins tonight as clear proof that perseverance has its rewards. This time last year, Hyundai received a special mention based on its steady rise through the ranks from 12th overall in 2004 to 7th overall in 2005.

“Taking second and third places in the rental and overall categories in 2006 is, indeed, a phenomenal achievement. Congratulations to Ford / Mazda on taking second overall and to Nissan SA, congratulations on your 4th consecutive win!”

.
Rental Gold
Toyota South Africa
Silver Overall & Silver Leasing
Ford Motor Company of Southern Africa
Bronze Overall & Silver Rental

Hyundai Automotive of South Africa
Bronze Rental & Bronze Leasing

General Motors South Africa

 

See next article for more photos

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Many thanks to all the motor manufacturers for their generous sponsorship of the event:

Special thanks to those companies that also contributed so generously towards the evening’s prizes:

ABSA Vehicle Management Solutions – Avis Rent a Car – Contract Lease Management – McCarthy Fleet Services – South African Airways – Standard Bank Fleet Services – Wesbank Fleet Services

Tracy Munro, representing sponsor, South African Airways, hands a very happy Rabby Bokaba of Volkswagen SA, two air tickets to Paris!

Shopping, shopping … Michelle Pretorius of Renault SA (centre) scoops the fantastic R10 000 cash prize!

Marang House is the worthy beneficiary!

At the 2006 Manufacturer of the Year Awards, an amount of R30 000 was contributed by SAVRALA and its members to MARANG HOUSE, a registered non-profit organisation founded by the late Dr Pieter Ernst in June 1998.

Pictured here is Pieter Ernst Jr (left) who, at the tender age of 20, has opted to fill his late father’s shoes and publicly promote this worthy institution and at the same time, work towards a law degree through UNISA. Newly elected association president, Paul Pauwen hands Pieter the cheque.

And there’s more … during his winner’s speech and on behalf of Nissan SA, Chris Schell, once again agreed to match SAVRALA’s donation to Marang House. Well done!

About Marang House …
Many South African children suffer from life-threatening diseases and are not fortunate enough to have home environments that will facilitate their recuperation and restoration to normal health. The core objective of Marang House, situated in Northcliff, Johannesburg is to provide these children from disadvantaged backgrounds with a stable home environment thereby enhancing their likelihood of full recovery and improving their chances of fulfilling their dreams.

With the capacity to accommodate 11 children between the ages of 4 and 14 in the home at any one time, Marang House has celebrated the successful recovery of more than 30 children, with Johannesburg Hospital’s Dr Cecil Levy affirming that more than 70% of the children cared for at Marang House would not otherwise have survived!

For more information on Marang House, log on to www.maranghouse.com

A SAVRALA perspective on traffic fines and roadside arrests

AUTONEWS: March 2006

Due to the growing problem and resultant publicity relating to the “arresting” or “detaining” of people for outstanding traffic fines – with or without their knowledge of a warrant for their arrest – the Southern African Vehicle Rental and Leasing Association (SAVRALA) has become increasingly concerned about the legality of certain traffic authorities’ practices.

In recent years, much of the authorities’ behaviour has become questionable and it is apparent that traffic fines are now widely regarded as a lucrative stream of revenue, and not as a means of encouraging road users to change their mindsets and driving habits behind the wheel.

While SAVRALA advises its members and road users in general to abide by the law, the association is contemplating certain legal options to counter the problems – specifically in relation to car rental and other fleet owner organizations, where the NaTIS-registered person (National Traffic Information System) is a company assigned representative or proxy who is generally responsible for fleet administration and vehicle licensing matters.

To provide its members and other interested parties with insight into the facts relating to traffic fines and warrants of arrest, a detailed transcript prepared by SAVRALA’s attorney is available on the association’s website.

However, in the event of being stopped at a roadblock or confronted with a warrant of arrest at work or home, here are some ‘in brief’ guidelines taken from this document.

When informed by the traffic authority that you have warrants of arrest relating to outstanding fines, do not become confrontational. Always carry the telephone number of your company’s or your personal legal representative as well as a senior company director and call them immediately for assistance and intervention.

Know the facts

  • You have the right to see the warrant of arrest which should clearly contain your details.

  • That “the authorities must prove that you received the summons” is incorrect. The serving of a summons may be carried out in several ways and this is provided for in Section 54 (2) of the Criminal Procedure Act No. 51 of 1977: (2) “Except where otherwise expressly provided by any law, the summons shall be served by a person referred to in sub-section (1)(b) by delivering it to the person named therein or, if he cannot be found, by delivering it at his residence or place of employment or business to a person apparently over the age of sixteen years and apparently residing or employed there.”

  • That a person may only be arrested if the original warrant is available is not correct, a copy will do.

  • The Traffic Authority does not necessarily have to have the warrant available with them at that time. In the context of sub-section 2, “immediately” means “as soon as practically possible”. It does not mean “instantaneously”. Trifling delays will not amount to non-compliance with the requirement of immediate notice. But any lapse of time which extends beyond this and which is caused by the inability of the arresting officer to comply with the arrested person’s request will not satisfy the requirements of the sub-section.

When detention or arrest is unlawful
The arrest of a person (who had demanded a copy of the warrant) for some hours and who was then taken to a police station to obtain a copy of the warrant, would be unlawful – as would be detention after such an arrest.

Under such circumstances, an arrested person is “entitled to leave” and the peace officer would not be lawfully permitted to prevent this. The practical consequences of “fleeing” are, however, not particularly appealing as experience has shown that over zealous officials can cause tremendous problems for arrested persons demanding to be freed and insisting on their rights. Trumped-up charges of drunken driving, assault on a police officer and escaping from custody for example, have been known to be brought against the arrested person.

SAVRALA Golf Challenge takes STEPS R60 000 forward!

Celebrating at the 19th hole. From left: Karen Moss, CEO and board director of STEPS Charity, comedian Trevor Gumbi, MC Rose Motene, SAVRALA’s Wayne Duvenage and event organiser, Elaine Montague.

SAVRALA’s 2006 Community Outreach Golf Challenge was held under cloudy skies at Johannesburg’s Houghton Golf Course on 21 February and, by the close of day, R60 000 had been raised in support of STEPS Charity. This is a registered non-profit organisation that assists babies and children with lower limb disorders, congenital hip dysplasia and clubfoot, for example.

Celebrating at the 19th hole, from left, Karen Moss, CEO and board director of STEPS Charity, comedian Trevor Gumbi, MC Rose Motene, SAVRALA’s Wayne Duvenage and event organiser, Elaine Montague.

SAVRALA’s 2006 Community Outreach Golf Challenge was held under cloudy skies at Johannesburg’s Houghton Golf Course on 21 February and, by the close of day, R60 000 had been raised in support of STEPS Charity. This is a registered non-profit organisation that assists babies and children with lower limb disorders, congenital hip dysplasia and clubfoot, for example.

Winning Foursome! The McCarthy Fleet Services four ball comprising Byron Corcoran, Andre Dalais, Robin Phelps and Mark Ogram took 1st prize. Congratulations guys!

At the prize giving, Karen Moss, STEPS CEO took time to screen a short video outlining the invaluable range of services that the organisation affords these youngsters. “We believe that every child has the right to the best treatment and support available, irrespective of his or her economic situation might be. Parents and caregivers also need more support – emotional, financial and factual – to enable them to provide for these children and this is what STEPS has set out to do.

“Treatment in the early years determines the quality of life of these children forever which is why it’s so important that they have the primary care that they need.”

Master of Ceremonies was local actress and TV presenter, Rosie Motene with comedian, Trevor Gumbi providing the audience with some good laughs.

The event was a great success and talk is there may be a second challenge coming up later in the year.

Celebrity pose: MC on the day, actress, TV presenter and celebrity, Rosie Motene took to the course with much enthusiasm. Her handicap? “Golf,” she replied with a grin! Giving her a ‘lift’ on the 1st tee are Wayne Duvenage (left) and Warren Fletcher of Alchemy Financial Services.

30 years of car rental in South Africa

Jan 2006

South Africa’s car rental industry has undergone significant changes over the past 30 years with the past decade seeing the most dynamic changes and competitive forces ever.

Pre-1994 …
Going back to the seventies, there were three major brands operating in South Africa, these being Avis, Hertz and Budget. In those early days, it was a case of educating potential customers to get to grips with the concept that renting vehicles was a good way to get around on business and holiday trips.

The focus was more on the business market and many negotiations were held with the Department of Transport of the day, to obtain kiosk space within the airport terminals. During the eighties, a new local brand ‘Imperial Car Rental’ was born with dynamo Carol Scott at the helm. Today, the Imperial group runs a powerful multi-brand car rental operation.

The eighties also saw much pressure brought to bear on the international brands and towards the end of that decade Imperial purchased the Hertz brand and operated it from their Imperial outlets.

The pressures of increasing parking bay and kiosk space requirements at airports continued into the 1990s. However, much relief was provided to the industry when the Airports Company of South Africa (ACSA) took control of the nine major state airports enabling greater participation and much-need best, but, at a cost.

Imperial’s acquisition of Tempest Car hire in the early nineties brought home-grown brand into the industry and while competition between all the players started to hot up, it was still under relative control with ongoing rate increases attainable.

1994 to 1999 …
With the post-apartheid ‘opening up’ of South African trade to the rest of the world and in tandem with ACSA’s keenness to open up business at the main airports across the country, the number of car rental brands and operators climbed to eight.

Hertz then returned to South Africa under its own brand. Next up was Imperial’s acquisition of Europcar which saw yet another international brand join the fray. Shortly thereafter, Combined Motor Holdings’ National/Alamo and more recently, Dollar/Thrifty, have come onto the scene. The new South Africa also saw an increase in the number of smaller independent operators in main urban areas.

Avis continued to be the largest single brand operator, with its market share fluctuating with the new arrivals. During this time, South Africa had become the new international ‘flavour of the month’. It had become a popular holiday destination and played host to the 1995 World Cup Rugby resulting in significant increases in car rental volumes. This allowed the new players to make their way into the market without too much upheaval to existing operators.
With the approach of the new millennium, however, competitive pricing for market share began to creep in.

1999 to 2004 …
During the mid-nineties, South Africa had enjoyed significant growth in tourism and as these numbers began to drop off, circa 1999, the competitive forces at work in the car rental industry increased further, limiting rate increases in a still rather high inflationary environment, come the turn of the century.

By 2000, the new brands / operators had settled and the eight main airport-based car rental operations began to consolidate their positions and drive hard for market share growth which resulted in the price-cutting and lower rate yield into 2001.

With the brief spike in interest rates in 2002, a correction to pricing was achieved in 2002 and 2003. However, as interest rates came down and new car prices effectively reduced, the price war fire flared up again and saw rate yields decreasing during 2004 and 2005.

During this period, the smaller independent operators – of which there are hundreds operating fleets ranging from five to 100 vehicles – continued to grow and are now estimated to control around 10% of the total market.

2005 and beyond …
This year has seen very torrid competition amongst car rental operators who have reduced rates to either increase or protect their respective share of the market.

Naturally, this activity has ensured that the potential profit gains from the lower interest rates since 2003 have been passed on, in the main, to the consumer. The end result is that car rental is as cheap now as it was in 2003.

Looking forward, unless significant interest rate or new vehicle price hikes come into play, the competitive forces will continue well into 2006.

Legislation and ‘bush’ vehicles – fair game or not?

January 2006

When the authorities began enforcing some long standing rules on the game viewing vehicle some years ago, it prompted Land Rover to take stock and investigate the legislation and how it affected the legalities of vehicles operating in the “bush.”

Land Rover approached Ian Charlton who had worked for the SABS for 30 years heading up its Automotive Engineering Division while also serving on the Department of Transport’s technical committees for over a decade. For advice on the “non-vehicle” side of the law, he consulted Alta Swanepoel.

The outcome was a completely new design of game viewer, now being produced at the Land Rover plant in Pretoria, and a better grasp of the complexities of various pieces of legislation.

First off, are the roads in private reserves considered to be public? Absolutely!

As the public has access, the law defines them as public roads. Some operators, however, refuse to accept that their bush roads are governed by the same rules as the N1 and argue that Road Traffic Regulations do not apply to their vehicles.

The fact is they are public roads and the regulations do apply which means there is a duty to provide the same minimum levels of safety as elsewhere.

Just for the moment, however, let’s assume they’re private roads and the traffic police have no jurisdiction.

  • The fact remains that these vehicles must still be registered and licensed.

  • In order to be registered, vehicles must be checked by the SABS to ensure compliance with all the safety requirements.

  • As they are operating for reward, they must also comply with those “reward” requirements.

And, there’s more! If one looks at the Occupational Health and Safety Act (OHS Act), it’s clear that employers have a duty to provide reasonable safety measures for their employees at their place of work.

In this context, the game viewing vehicle is the workplace for the driver, guide and tracker. As an engineer, Charlton’s understanding is if one’s workplace has abnormal circumstances with intrinsic risks – in this case some exposure to wild animals – then employers have to resort to special training and standard operating procedures to minimize risk. Feasible and reasonable precautions must be taken. As such, he casts doubt on whether an inspector under the OHS Act would take kindly to the use of un-roadworthy vehicles or a tracker perched on the bonnet!

Under Common Law, there are basic obligations to be fair and reasonable to persons in your charge and the least that he would expect would be a vehicle compliant with long-standing and basic safety standards.

Legislation remains a challenge

Jan 2006

The agenda for the Southern African Vehicle and Rental Assocation’s (SAVRALA) first quarterly meeting of 2006 is brimming with association initiatives for rubber-stamping and implementation by its national executive committee(NEC), various sub-committees as well as Wayne Duvenage, general manager of SAVRALA’s rental section.

With three welcome new faces on board the NEC (Byron Corcoran, Martin Lydall and Lance Smith) – all experienced marketers and experts in their respective fields of operation – new ideas have already been brought to the table and tabled for discussion at January’s forum.

Some of the initiatives already underway, or in the action pipeline, include:

  • To ensure that new vehicle and/or model information is immediately to hand when they are introduced by motor manufacturers to leasing companies, an agreed industry template for population by the manufacturers is scheduled to be finalised by February.

  • The streamlining of SAVRALA’s quarterly meetings in order to give both members and associate members dedicated time to tackle issues pertinent to their respective areas.

  • To raise the profile of and initiate a ‘new look and feel’ for the Manufacturer of the Year (MOTY) Awards gala dinner in October. Furthermore, to ensure that we keep up to date with our members’ needs and streamline the accuracy and fairness of evaluations, the rental and leasing sections will be reviewing their respective MOTY evaluation processes.

  • The rental section’s “going live” early in 2006 with an electronic database (managed by Transunion/ITC) of payment defaulters and abusers of SA’s car rental sector. This industry is is open to significant abuse and the sharing of this information has and will continue to assist its member companies to reduce unnecessary losses.

  • The addressing of “illegal” arrest of company proxies by various municipal Metro policing authorities for payment for outstanding traffic fines which is a major challenge facing the rental and leasing industries as well as many fleet owners. A serious problem for SAVRALA members, legal action is now being considered to deal with the “extortion” tactics applied by Metros to have their huge traffic fine revenues collected on their behalf.
    This problem is not only confined to the arrest of proxies but also to the licensing of new vehicles, which is put on hold authorities if fines are not paid. Generally, SA’s traffic fine systems are plagued by poor administration and our industries are being “extorted” to pay over large sums of money to keep their operations in business and their staff out of jail. Should any readers wish to add their weight to this project, please contact Wayne Duvenage atwayned@savrala.co.za

  • SAVRALA will also be working closely with Southern Africa Tourism Services Association (SATSA and the Tourism Business Council of SA (TBCSA) in 2006, to deal with the easing of tourism-related legislation which is having a negative effect on tour operators and limiting the growth of entrepreneurial opportunities.

  • Changes to and the tightening up of International Financial Reporting Standards have a significant impact on the leasing sector (operating leases in particular) and have been identified as a key focus in 2006.

  • Following on from the approval and registration of the Learnership in Fleet Management (thanks to Imperial Fleet Services and Bank SETA) late last year, Sarel Visagie, head of Fleet Management at Lyceum College, reports that the next step forward is already underway.

SAVRALA members who do not yet have association Certificates of Membership and Rental and/or Leasing and Fleet Management Charters, are urged to contact Margie Gawith at Qwantani Communications on (011) 678 2907 or margie@qwantani.com

Budget 2006

Jan 2006

Now is a good time to review your tax liabilities before the 2006 tax year kicks in on March 1. The ‘perks’ or not of company cars and car allowances for one …

In Finance Minister Trevor Manuel’s 2005 budget speech, there was an expectation that there would be a shift in car allowances back to company cars, albeit it a modified version of old-type company car schemes according to Bryon Corcoran, vice chairman of the leasing section 2005/2006.

This shift, anticipated in the main by allowance receivers utilising low business mileages, was based on the rationale that if one were to apply private travel accurately to the formula rather than the deemed private mileage, they would be penalised.

Also influencing this expectation was the reported practice by the South African Revenue Services (SARS) at that time of conducting random checks on odometer readings as well as questioning the receipt of travel allowances for jobs that did not appear to justify business travel.

In addition, there was much publicity in newspapers and trade journals surrounding the potential changes to the tax treatment of car allowances. At the same time, little was said about any changes to the taxation of company cars.

“What transpired is that Trevor Manuel increased the tax formula for both car allowances and company cars,” says Corcoran. “The latter was totally unexpected as we understood that SARS merely wanted to correct the misuse of the deemed private mileage formula for those people who miraculously travelled the optimum 32 000 kilometres per annum.” End result? The changes made were fair and equitable to both schemes with neither favoured.

“Despite the relatively equal treatment meted out to both schemes, these changes have not been good news for the motor industry as the net result is tantamount to a large interest rate increase,” he explains. “The knock-on effect of reducing disposable income is likely to reduce new car sales volumes as individuals tend towards delaying replacements.

“What’s more, because of the R360 000.00 cap applied to the allowance deduction table, there has been a trend towards ‘buying down’, particularly in the luxury vehicle sector. Any inflationary increases on car prices would simply exacerbate this trend.” For the vehicle finance and leasing industries, increases of this nature generally translate directly into increased bad debt as people find themselves unable to meet the increased debt.

“As most vehicle finance arrangements tend to range between 36 and 60 months, it is important for car allowance recipients to take into account the cost of the next phase of tax increases in the 2006/2007 tax year,” advises Corcoran.

From the tax payer’s point of view, an individual travelling a low business mileage should, in most instances, opt for a company car while a person doing a high business mileage would generally find a car allowance a more tax effective option.

The full blow of the Department of Finance’s travel allowance amendments will be felt in the 2007 year of assessment when deemed private mileage is upped from 16 000 km to 18 000 km.

Those individuals doing a mileage of less than 25 000 km a year are advised to maintain records or be at risk of chipping in.

In addition, the deemed fringe benefit on a company car will increase from 1.8% of the determined value to 2.5%.

Savrala hits 2006 running

Jan 2006

The agenda for the Southern African Vehicle and Rental Assocation’s (SAVRALA) first quarterly meeting of 2006 is brimming with association initiatives for rubber-stamping and implementation by its national executive committee(NEC), various sub-committees as well as Wayne Duvenage, general manager of SAVRALA’s rental section.

With three welcome new faces on board the NEC (Byron Corcoran, Martin Lydall and Lance Smith) – all experienced marketers and experts in their respective fields of operation – new ideas have already been brought to the table and tabled for discussion at January’s forum.

Some of the initiatives already underway, or in the action pipeline, include:

  • To ensure that new vehicle and/or model information is immediately to hand when they are introduced by motor manufacturers to leasing companies, an agreed industry template for population by the manufacturers is scheduled to be finalised by February.

  • The streamlining of SAVRALA’s quarterly meetings in order to give both members and associate members dedicated time to tackle issues pertinent to their respective areas.

  • To raise the profile of and initiate a ‘new look and feel’ for the Manufacturer of the Year (MOTY) Awards gala dinner in October. Furthermore, to ensure that we keep up to date with our members’ needs and streamline the accuracy and fairness of evaluations, the rental and leasing sections will be reviewing their respective MOTY evaluation processes.

  • The rental section’s “going live” early in 2006 with an electronic database (managed by Transunion/ITC) of payment defaulters and abusers of SA’s car rental sector. This industry is is open to significant abuse and the sharing of this information has and will continue to assist its member companies to reduce unnecessary losses.

  • The addressing of “illegal” arrest of company proxies by various municipal Metro policing authorities for payment for outstanding traffic fines which is a major challenge facing the rental and leasing industries as well as many fleet owners. A serious problem for SAVRALA members, legal action is now being considered to deal with the “extortion” tactics applied by Metros to have their huge traffic fine revenues collected on their behalf.
    This problem is not only confined to the arrest of proxies but also to the licensing of new vehicles, which is put on hold authorities if fines are not paid. Generally, SA’s traffic fine systems are plagued by poor administration and our industries are being “extorted” to pay over large sums of money to keep their operations in business and their staff out of jail. Should any readers wish to add their weight to this project, please contact Wayne Duvenage atwayned@savrala.co.za

  • SAVRALA will also be working closely with Southern Africa Tourism Services Association (SATSA and the Tourism Business Council of SA (TBCSA) in 2006, to deal with the easing of tourism-related legislation which is having a negative effect on tour operators and limiting the growth of entrepreneurial opportunities.

  • Changes to and the tightening up of International Financial Reporting Standards have a significant impact on the leasing sector (operating leases in particular) and have been identified as a key focus in 2006.

  • Following on from the approval and registration of the Learnership in Fleet Management (thanks to Imperial Fleet Services and Bank SETA) late last year, Sarel Visagie, head of Fleet Management at Lyceum College, reports that the next step forward is already underway.

SAVRALA members who do not yet have association Certificates of Membership and Rental and/or Leasing and Fleet Management Charters, are urged to contact Margie Gawith at Qwantani Communications on (011) 678 2907 or margie@qwantani.com