Fees hike for towies

A fee increase for tow-truck operators acting as the police contact for vehicle recovery, towage and storage is long overdue but welcome, says the Motor Trade Association (MTA).

Sector manager Larry Fallowfield says the association has long advocated for an increase.

“As the government acknowledges, it’s the first since 2004 so we thank it for taking this step,” he adds. “Tow-truck operators have unfairly carried the can and cost for providing an essential service for far too long.

“The MTA has advocated for this for 20 years but, despite numerous reviews, successive governments have chosen not to adjust the fees. We stepped up our calls at the start of last year to argue for an increase that reflected inflation.”

Fallowfield, pictured, says the government’s announcement of August 29 shows it has listened, “although there’s still work to be done”.

Towage fees will increase by 68 per cent, and mileage and storage by 98 per cent, from October 1. However, the government “hasn’t addressed all the issues”.

“For starters, there needs to be an annual review and, if applicable, a price increase to reflect inflation,” he says.

“And there’s no opportunity to charge an admin fee to cover additional expenses that are required to check for money owing or to confirm the registered owner via a third-party portal.”

Consideration for extra costs incurred in difficult recoveries also needs to be on the table.

“Some impound recoveries can take up to two hours because there’s no key, no wheels or the vehicle is in a hard-to-access area,” explains Fallowfield. 

“And in many accidents the vehicle has ended up off the road in a paddock or ditch, or down a bank.”

The MTA will seek feedback from its members and work with the government on implementing the new fees. About half of the country’s 200 tow-truck operators are members of the association.