Embrace the change: Lesley Yates at Wire & Gas 2024

Australian Automotive Aftermarket Association government relations and advocacy director Lesley Yates returned to this year’s Wire & Gas to deliver a wide-ranging and incisive presentation that addressed the challenges and opportunities facing the independent automotive repair sector.

Yates offered an unflinching look at the realities of electric vehicle (EV) adoption, advanced driver assistance systems (ADAS), and the regulatory landscape, providing valuable insights into how the industry can position itself for success in an evolving market.

Her talk left a lasting impression, offering not just data, but a rallying call for the industry to take charge of its own future.

The Electric Vehicle Divide

During her presentation, Yates discussed the division within the automotive industry regarding EVs. While there has been a focus on the rapid growth of electric vehicles so far this decade, Yates painted a more nuanced picture, showing that the industry remains deeply split.

According to a recent AAAA survey, the sector is evenly divided between those eager to embrace EV technology and those who remain sceptical or prefer to wait until the market develops further.

“EVs are dominating headlines, but the reality is more complex,” Yates said. “Our industry is split 50:50. Some workshops are all in, gearing up with the necessary tools and training, while others are sitting back, waiting to see if EVs will gain significant market traction before investing.”​

She pointed out that despite the rapid growth in EV sales, the total number of vehicles on the road remains overwhelmingly dominated by internal combustion engine (ICE) vehicles. Yates projected that by 2030, ICE vehicles would still constitute the majority, with EVs and plug-in hybrids making up only around 15 per cent of the total car parc.

“What we’re seeing is that people are holding onto their ICE vehicles longer,” she explained. “They want to switch to EVs, but either they can’t afford them or they’re waiting for the technology to improve. This means our industry will still be servicing ICE vehicles for many years to come.”​

Government Projections and Industry Realities

Yates also took aim at the government’s projections for EV adoption, calling them overly optimistic. She cited federal climate change minister Chris Bowen’s prediction that 89 per cent of new vehicle sales in Australia would be electric by 2030. While the number sounds ambitious, Yates was quick to provide a reality check.

“89 per cent? It’s a nice number, but it’s unrealistic,” Yates said. “The idea that we’ll reach that level in just six years is more wishful thinking than grounded in reality. If someone tells you they know exactly how many EVs we’ll sell by 2030, they’re either a genius or delusional.”​

Her message to the government was clear: Stop relying on optimistic projections and start recognising the real challenges the industry faces, particularly the chronic shortage of technicians.

Yates highlighted that Australia is already short by 25,000 mechanics, and this shortage will only grow as the car parc expands by an estimated half a million vehicles each year.

“We need more mechanics, not fewer,” Yates stressed. “Even if EVs require less maintenance, the sheer volume of vehicles on the road means we’ll still need a significant number of skilled technicians. The idea that we’ll need fewer workers in the future is simply wrong.”​

Debunking EV Myths: The Service Gap

Yates also took the opportunity to debunk one of the most persistent myths surrounding electric vehicles: That they require little to no servicing. Using a humorous anecdote about a technical director at the Electric Vehicle Council who hadn’t had his car serviced in two years, she highlighted the dangers of this misconception.

“People think EVs are maintenance-free, but that’s not true,” Yates said. “Yes, they have fewer moving parts than ICE vehicles, but they still require regular servicing. Batteries need optimisation, tyres need replacing, and air-conditioning systems need maintenance. It’s our job as an industry to educate consumers about the importance of servicing their EVs.”

Yates warned that if workshops don’t step up to offer these services, they risk losing customers – not just for EV maintenance but for all vehicle types.

“If a customer can’t get their EV serviced at your workshop, they may take all their vehicles, including ICE ones, elsewhere. It’s a competitive market, and we need to be prepared,” she said.

The Real Disruptor: ADAS

While much of the focus remains on EVs, Yates argued that the real technological disruptor in the automotive industry is ADAS. Systems like autonomous emergency braking (AEB), lane-keeping assistance and adaptive cruise control are standard in almost all new vehicles and by 2030, nearly half of the cars on Australian roads will feature these technologies.

“The real revolution isn’t EVs; it’s ADAS,” Yates said. “This is the technology that’s changing our industry the fastest, and it’s going to present major challenges for workshops.”​

One of the key issues is calibration. ADAS systems rely on sensors, cameras, and radar units that need to be precisely calibrated to ensure they function correctly. Yates warned that as these systems become more prevalent, workshops that aren’t equipped to handle ADAS repairs and calibrations could find themselves left behind.

“This is where the real challenge lies,” she explained. “Workshops need to be prepared to calibrate ADAS systems. Something as simple as changing the tyres or adding a bull bar can throw off the system’s calibration. If we don’t get this right, it could have serious implications for vehicle safety – and for liability.”​

Taking Control of the Industry’s Future

Yates’ overarching message to the Wire & Gas audience was one of self-determination. She urged the independent automotive sector to take control of its own destiny rather than waiting for government regulation to dictate the terms.

While recognising that regulation is inevitable, particularly around EVs and ADAS, Yates emphasised that the industry needs to be proactive in setting its own standards.

“We need to be at the table, not on the menu,” she said. “If we don’t take the lead on developing voluntary standards and best practices for EV and ADAS repairs, the government will step in – and that’s something we need to avoid.”

Yates also touched on the need for the industry to keep pushing for fair regulations that allow workshops to continue modifying vehicles, particularly in the off-road and 4×4 markets. Australia has a thriving vehicle modification industry, but over-regulation could stifle the sector.

“Australians love to modify their vehicles,” Yates said. “We’re known for it, and we export these modifications around the world. But there’s growing concern that excessive regulation could limit our ability to continue modifying vehicles, especially as EVs become more common.”

Adaptation and Education

As Yates wrapped up her presentation, she left the audience with a clear vision for the future: adaptation and education are key to surviving and thriving in the automotive industry’s next phase.

She stressed the importance of workshops investing in both EV and ADAS technologies and providing ongoing training for technicians.

“We’re at a turning point,” Yates said. “This industry has always adapted to new technologies – whether it was fuel injection, automatic transmissions, or electronic stability control – and we’ll adapt to EVs and ADAS too. But we need to stay ahead of the curve.”

Her message was clear: the future of the automotive industry is full of opportunities, but only for those who are prepared to embrace change.