HR POL18 Company Motor Vehicles Policy




The purpose of this policy is to set out the principles for the use, procurement, maintenance and disposal of ’s motor vehicle fleet.


The policy applies to all motor vehicles and motorised equipment owned or managed by .


vehicles shall only be driven by staff or the following classes of non-staff as authorised by the CEO.

vehicles shall not be used for private purposes (excluding Packaged Vehicles).

Drivers in charge of vehicles are personally responsible for the payment of fines associated with parking, speeding or other traffic breaches incurred whilst in possession of a vehicle.

Where the driver of a vehicle is involved in a motor vehicle accident or breakdown, they shall follow the procedures as set out in the vehicle.

Administrative tasks associated with the purchase/disposal of a motor vehicle shall be the responsibility of ’s Finance department.

A valid, appropriate licence is needed to drive vehicles.

Pool Vehicles

Transport Motor Pool users must not use vehicles for any private travel other than when a vehicle is taken home for the sole purpose of commencing a business journey from the employee’s home early the next morning. Similarly, where a business journey ceases in the evening after business hours and the vehicle is returned to the car pool early the next morning. Other than this ‘incidental’ private use, pool car bookings will only be accepted where the use is 100% business travel.

Vehicle bookings are subject to availability and vehicles will be matched to the functional need. The CEO reserves the right to deny bookings.

For the purposes of collecting trip profile data and thereby informing fleet composition, log books shall be maintained for all applicable motor vehicles.

All motor vehicle log books shall be in a form, which facilitates the keeping and processing of all the data, which the Commissioner of Taxation prescribes, be kept for the purpose of assessing Fringe Benefits.

motor vehicles shall normally be garaged on premises, except for those motor vehicles assigned as part of remuneration packages or work requirements.

Packaged Vehicles

The CEO is the authorizing officer for the purchase, disposal and replacement of vehicles approved as part of remuneration packages.

Individuals allocated vehicles on a permanent basis shall be responsible for controlling the usage of allocated vehicles, cleaning and maintaining the vehicles and other records, and charging maintenance/running costs by means of fuel card and/or ’s purchasing system. Individuals are responsible for maintaining appropriate records of vehicle usage for driver identification purposes.

Purchase of Motor Vehicles

The overriding requirement for procurement of ’s motor vehicle fleet is fulfilling ’s operational requirements, while minimizing cost and environmental impact. The selection of vehicle makes and models is approved by the CEO and should be the best ‘fit for purpose’ vehicle.

Selection of vehicles, including options and accessories, should be based on firm business principles according to ’s operational needs and prudent financial management. Consideration should be paid to the following;

  1. Price, having considered the criteria outlined at points 2 to 6 below;
  2. A need to optimize fleet utilization by limiting its size to that required for normal operations;
  3. Measures to reduce total fuel consumption, improve energy efficiency and reduce greenhouse gas emissions;
  4. Whole-of-life costs (where appropriate second-hand vehicles may be sourced);
  5. The purchase price of all passenger vehicles will not exceed the Luxury Tax threshold as determined by the ATO; and
  6. Work health and safety factors

Disposal of Motor Vehicles

Disposal of ’s motor vehicles shall be by private sale, auction or trade in, dependent upon market forces at the time and subject to the approval of the CEO.

  1. vehicles are to be replaced when they are three years old or have travelled between 80,000km to a maximum of 100,000km whichever event is the earlier.
  2. light commercial vehicles and light 4WD and 4WD vehicles are to be replaced when they are five years old or have travelled 100,000km to a maximum of 120,000km whichever event is the earlier.
  3. Other vehicles and motorized equipment valued at greater than $10,000 will be replaced within the capital budget with a business case made 12 months in advance. Replacement decisions will be made on age and condition.


Policy conditions do not apply when replacement action is necessary if the vehicle has been involved in an accident or has failed mechanically and has been assessed as being beyond economical repair.


Vehicle maintenance should be undertaken according to the manufacturers’ recommendations to help ensure optimum fuel efficiency, emission performance and return on investment.

Staff should be made aware of the need to optimize fuel efficiency and emission performance by ensuring tyres are maintained at recommended pressures, wheels are correctly aligned, fuel tanks are not over-filled, vehicles are not used to carry unnecessary loads, and that good driving habits are observed.


  1. holds compulsory Third Party Insurances on all road going vehicles registered with Vic Roads.
  2. holds comprehensive Motor Vehicle Insurances on its motor vehicles which covers the cost of damages to owned vehicles, other motor vehicles and property resulting from an accident involving a vehicle.
  3. Currently a standard excess applies to all claims and additional age excesses apply to drivers under 25 years.

Log Books

Staff shall maintain log books for all pool vehicles. Details of all trips taken should be recorded in the log book and its purpose noted.

Workplace Health & Safety

vehicles are recognized as a workplace and thus covered by the Occupational Health and Safety Act 2004 (WHS Act) and associated regulations. vehicles will be operated in accordance with the law and the WH&S Act as a minimum standard.