Questions & answers from the 2007 AGM

There were lots of questions asked at the AGM. Here are answers to the most frequently asked ones.

1. What is the NRMA doing to fight for the rights of older drivers in the face of the restrictions proposed by the RTA?

The NRMA is strongly opposed to the RTA's restrictions.

We have campaigned hard against them and will continue to do so.

Drivers aged 75 and over are among the most safety-aware groups on our roads.

The right to a drivers licence should be determined by ability not age.

We are especially concerned about the proposal which forces older drivers to choose between a road test and a restricted license limiting their driving to a 10 km radius of their home. 

This could mean they cannot access critical services like hospitals, community centres, visiting families, shopping and banks.

NRMA also advocates the RTA scrapping its current policy of forcing drivers aged 85 and over to undertake a compulsory annual in-car driving test. 

We are lobbying the RTA to provide drivers approaching 75 with more information on what they can do to improve their driving skills. We also want the RTA to provide more information to the family and friends of older drivers so that they are better equipped to identify and address changes to the health and physical condition of loved ones which might affect their ability to drive.

     2.     Why is the AGM being held in Newcastle?

More than 40 per cent of our Members live outside Sydney. We are committed to serving all our Members - regardless of where they live - and it is an honour to be in Newcastle.

We have about 130,000 Members who live in Newcastle and the Hunter. About the same number live within travelling distance of where we would normally hold our AGM in Sydney.

We have also taken numerous steps to facilitate Members getting to Newcastle, including setting out directions and timetables in the Notice of Meeting, organising buses to and from the meeting and starting at 11.00 am.

     3.    Why do NRMA competitions only apply to people
             who participate online? 

Not all NRMA competitions are only available to Members who participate online. The Open Road often runs competitions through the magazine and in addition to the online competition to win a holiday voucher, all Members who voted on the motions in this AGM went into the draw to win petrol vouchers.

However, the company is running more and more competitions online because we want to encourage our Members to make the most of our website facilities. We can improve the way we communicate with our Members if we can do it electronically, as well as through the post, all the time. It is faster, more efficient, cuts costs and significantly reduces paper wastage.

     4.    Since the NRMA is making such a profit why can't
             Members get a discount off their membership fees?

The NRMA is in the strongest financial position since demutualisation. We have achieved this after some tough decisions were made and following three years of sound financial management by the Board and management.

To cut membership fees now would be financially irresponsible and place the company under financial strain. However, we are committed to rewarding our Members for their loyalty and providing real benefits to Members.

Part of the company strategy to rebuild our financial position was to diversify our investment portfolio and grow the family of NRMA businesses. That's why we invested in companies like Travelodge, Thrifty and our Holiday Parks and opened new businesses like MotorServe and our Safer Driving Schools.

These new businesses offer Members real benefits and discounts and provide a solid return to the company. Today, an NRMA Member can more than recoup the cost of their membership and then some simply by making a purchase at any of these businesses.  

     5.    How can the Government get away with spending so
             little of the fuel excise on roads?

The Government fuel excise is 38 cents in every litre of petrol sold - they spend about 11 cents of this back on roads.

This has improved significantly over the last couple of years and our efforts to pressure the Government to spend more on roads is paying off. After the last Federal Budget the return to roads went from 8 cents per litre to 11 cents.

We recognise that while this has improved it's still not good enough. That's why the NRMA is working on a campaign to see the Federal Government increase its spend on roads to $25 billion under the Auslink funding scheme - this would be equivalent to a 12 cent per litre investment back into roads from the 38 cents per litre in fuel.

     6.    Can Members receive a reduction on their fees if they
             go the whole year without using roadside? 

Roadside assistance is a critical service that helps keep you and your family safe on the road. It's like private health insurance - you hope you never have to use it but sleep better at night knowing it's there.

While the number of call outs has dropped in recent years the NRMA needs to continue to invest new equipment and training for our patrols to ensure this service remains world class.

A cut in membership fees would place pressure on the company's finances and limit our capacity to invest in the equipment and training our staff need.

However, we recognize there are other ways to provide benefits to our Members and we are pleased that our Members can now recoup their membership fees from the savings they make every time they make a purchase at one of our family of NRMA businesses - Adventure World, NRMA Holiday Parks, MotorServe, Thrifty, Travelodge and the Show Your Card and Save program.

     7.    Why has it taken so long to fill the casual vacancy
             on the Board?

Since the position became vacant last year a number of candidates have been interviewed. However, we obviously want to ensure that we get the best person possible for the position.

Serving on the NRMA Board brings with it significant responsibility and we want to fill the position with a director who can provide exceptional service to our Members.

In addition, there is a review of the electoral boundaries by the Boundaries Commission underway at present, so we have had to make sure that that review is completed before making any appointment and that the successful candidate knows who they are going to represent. We are close to a final shortlist, but we want to make sure that the candidate makes a contribution to the NRMA and we hope that it will be filled in the near term.