By Chris Daniels
transport reporter
The new licensing and testing system for drivers is being investigated by the Commerce Commission after complaints of anti-competitive practices.
Subsidiaries of the Automobile Association have won contracts to carry out the tasks from May 3, but the privatisation move has already sparked six complaints.
The Labour Party
has described the transition as a shambles, with thousands of drivers unable to book for a test.
No bookings are being accepted for May, as the Minister of Transport, Maurice Williamson, has yet to formally approve the new licensing rules.
He is refusing to say if the rules will be approved as expected, or when he will make an announcement.
The Land Transport Safety Authority yesterday announced the companies that had won the contracts to test and license.
A wholly owned subsidiary of the AA, Driver Testing New Zealand, will run the practical driving testing from Taupo northwards.
A network of shops known as AA Express will take bookings for practical tests, run the theory tests and issue the new photographic drivers' licences.
It is this connection that has prompted complaints to the commission. Many in the driver-training industry are unhappy at the market domination the AA will gain as a result of the changes. Three other firms have been appointed as driver licensing agents, while another - New Zealand Driver Licensing - will do practical testing from Taupo southwards.
AA chief executive Brian Gibbons said the AA Express outlets would provide one location for all core motoring requirements.
Driver Testing New Zealand was a separate company, with a different board of directors and management from the AA.
While it was a commercial operation, the plan was to give more benefits to motorists and AA members.
Money from the licensing could be used for such items as road safety programmes.
Changing over to the new system for testing on May 3 has led to a rush of people wanting their licences, with more than three times the normal number booked in before May 1.
The issuing of new photographic licences will start in May, with drivers required to get a new licence on the month of their birthday.
Rob Martyn, general operations manager for the authority, said that under the new contracts, there should be no conflict of interest between those testing and issuing licences.
Labour transport spokesman Harry Duynhoven said the transition to the system was a shambles and people had no idea what was happening.
Delays had been caused by the Government decision to increase charges and fees on licences. This was to pay for the cut in price of the new 10-year photo licence to $30 instead of the original $60.
