Right to Repair under review

Australia’s pioneering Right to Repair law is under formal review three years after implementation, with industry leaders pushing the federal government to strengthen the scheme and unlock its untapped economic potential.

Introduced in July 2022, the Motor Vehicle Service and Repair Information Sharing Scheme gave independent automotive repairers access to critical manufacturer data so that Australians could choose where to service their vehicles rather than being locked into dealership networks.

The law was a world first outside the United States, following relentless efforts by industry groups including the Australian Automotive Aftermarket Association, the MTAA and the VACC.

“The law was a game-changer for our sector,” said AAAA chief executive officer Stuart Charity.

“It gave independent workshops fair access to essential repair information and helped drive down costs for consumers. But the way vehicles are built, serviced and connected has changed rapidly – and the law must evolve with it.”

The Treasury-led review will assess whether the law is achieving its legislated goals of promoting competition, supporting consumer choice, ensuring fair access to repair information and protecting vehicle safety and security.

“No car owner should be forced to take the car back to a dealer because the car manufacturers have artificially manipulated the market by withholding software updates and reinitialisation codes,” said Mr Charity.

The scheme, administered by the Australian Automotive Service and Repair Authority, now supports thousands of repair and collision workshops and covers about 87 per cent of all cars on Australian roads, with the law applying to all passenger and light commercial vehicles built from January 2002 onwards.

The ACCC enforces compliance while AASRA handles complaints and helps resolve disputes. AASRA has been reappointed as Scheme Adviser for another two years – a move the AAAA says reflects confidence in its oversight and industry support.

Alongside the review, federal treasurer Jim Chalmers announced a $400 million annual investment to strengthen Right to Repair laws by supporting enforcement, training and continued access to technical information.

Some industry leaders argue that although scheme already delivers measurable benefits, further reforms could turn it into a “productivity powerhouse”.

“With national productivity growth stagnating, we should be backing reforms that are already working,” said Mr Charity.

“The Motor Vehicle Information Sharing Scheme is delivering real gains – higher workshop efficiency, lower costs for consumers and stronger competition. But it could do so much more if a few key roadblocks were removed.”

A report by research firm Fifth Quadrant, commissioned by the AAAA, found since the scheme’s introduction that 65 per cent of workshops report improved technician productivity, 61 per cent have increased revenue, 55 per cent report greater profitability and 40 per cent fewer vehicles are turned away due to data inaccessibility.

“These are not theoretical improvements – this is productivity in action, Mr Charity added.

“We have independent repairers doing more work in less time, with better results for consumers and more competitive pricing across the board.”

The AAAA’s detailed submission to the Treasury review outlines several key weaknesses in the current system, such as telematics and real-time vehicle data, which are currently excluded from the law despite being vital for modern diagnostics, putting independent repairers at a disadvantage.

Electronic logbooks and service histories are not covered by the scheme, allowing manufacturers to influence consumer decisions based on incomplete service data.

Data aggregators – platforms converting complex manufacturer data into usable formats for workshops – face legal uncertainty under current legislation.

For diagnostic tool access, AAAA is calling for a universal interface such as SAE J2534 to reduce costs and reliance on locked-down OEM tools.

Independent technicians must meet ‘fit and proper person’ standards to access high-voltage or security-related systems – but suitable training is not always available or recognised.

Although the law mandates access to data on fair commercial terms, some manufacturers still impose excessive fees or restrict access in breach of the rules.

“Right to Repair is not a one-off win – it’s a long game,” Mr Charity said.

“This review is our opportunity to finish what we started: a future-proof law that guarantees fair access to repair information and puts consumers firmly in the driver’s seat.”

The AAAA welcomed the appointment of Assistant Minister for Competition Dr Andrew Leigh as responsible for productivity, with the expectation he would lead the next stage of improvements to the law.

“Dr Leigh has a strong track record of championing evidence-based policy, and the data is clear: Right to Repair is working. Now let’s finish the job,” Mr Charity said.

“With the right reforms, this scheme can become a productivity powerhouse – not just for our industry, but for the entire economy.”