Andrea Heazlewood
Transport Registry Centre

Land Transport New Zealand

PO Box 2840

Wellington

25th May 2006

Dear Ms Heazlewood

Re : Road User Charges

The Automotive Parts Industry Association (APIA) represents the majority of the Vehicle Dismantling and Recycling Industry in New Zealand.  Our members regularly purchase or are given vehicles to recycle that require deregistration. Often, when it is a diesel vehicle, the recycler deregistering it is advised that there is outstanding Road User Charges for which they have become liable as the new owner of the vehicle.

Given that the dismantler is not, nor will they ever, use the vehicle on the road and, given that the vehicle has reached the end of it’s life, it is a situation that is not acceptable to the business applying for the deregistration.

Often the vehicles have been abandoned and our member is requested by Police or a Local Authority to remove it. In other instances the vehicles are collected from their owners as an act of recycling or simply to remove them from the community where they have become an eyesore. In most instances the vehicle is compacted into scrap metal for recycling.

In most instances where the dismantler is advised that they must pay outstanding RUC they consider it an injustice leading to a situation resulting in a financial loss – so they do not proceed to take ownership and dispose of the vehicle. We are not certain what happens to many of those vehicles but suspect they remain on the registry although they may no longer exist.

On behalf of our members we would like to request LTNZ gives consideration to creating a process whereby it becomes possible for an APIA member who is a legitimate recycler, to turn in the plates and deregister the vehicle without becoming liable for the outstanding debts on that vehicle.

We would be delighted to provide further information or assistance.

Yours sincerely

Maurice O’Reilly

APIA - Spokesman