Competition Commission’s vehicle repair guidelines to open playing field
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The Competition Commission’s pending guidelines pertaining to vehicle repair service providers will open up the playing field to start ups in the sector. This is according to attorney and founder of the Legal Affair, Nonhlanhla Mtshali, who was speaking to the OFM Business Hour on the contentious guidelines which are set to come into effect on 1 July.
Mtshali explains that the guidelines are an attempt at regulating the automotive industry to ensure that it isn’t just the big players that continue to benefit from business in the sector, often times because they are allegedly affiliated with well-known insurance companies that force their customers to go to said service providers if they want repairs covered.
One way in which the Competition Commission aims to do this is via the easing of stringent restrictions placed on service providers such as the size of the location where vehicles are repaired.
Whilst the industry big players are not happy with the guidelines Mtshali says that this will widen consumers’ options with regards to having ones vehicle repaired and credibly serviced without hurting your pocket. It will also open up the playing field to small start ups in the industry and increase employment moving forward.
Whichever side of the debate you fall, the guidelines will be enforced come 1 July 2021.
Mtshali explains that the guidelines are an attempt at regulating the automotive industry to ensure that it isn’t just the big players that continue to benefit from business in the sector, often times because they are allegedly affiliated with well-known insurance companies that force their customers to go to said service providers if they want repairs covered.
One way in which the Competition Commission aims to do this is via the easing of stringent restrictions placed on service providers such as the size of the location where vehicles are repaired.
Whilst the industry big players are not happy with the guidelines Mtshali says that this will widen consumers’ options with regards to having ones vehicle repaired and credibly serviced without hurting your pocket. It will also open up the playing field to small start ups in the industry and increase employment moving forward.
Whichever side of the debate you fall, the guidelines will be enforced come 1 July 2021.
