Lime lobbying rushed NZTA to exempt e-scooters from vehicle regulations

Thursday, 14 March 2019

E-scooter business Lime lobbied the New Zealand Transport Agency (NZTA) into re-classifying electric scooters as non-motor vehicles, so the California-based company could meet its deadline to introduce its contraptions on the streets of Auckland and Christchurch.

Emails seen by Stuff show last-minute lobbying led to an NZTA exemption declaring e-scooters were not motor vehicles, paving the way for Lime to operate its fleet under a street trading licence.

Lime confirmed it engaged former Labour Party president Mike Williams as a consultant during its lobbying. Its spokeswoman said 'he shares our commitment to expanding safe, affordable and abundant transportation options for all residents, and has been a trusted partner as we improve service across the country'.

A Lime email requesting NZTA act urgently to meet its September 20 launch deadline. Lime did not introduce its e-scooters until October.

Williams is also a former director at NZTA, and a founding board member of Auckland Transport, where he remained a director for five years until 2014.

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On September 11, 2018, a Lime employee emailed an NZTA staffer saying the e-scooter business 'intended to launch in Auckland and Christchurch by September 20, and [had] received permission from both cities to operate'.

'Urgency is requested in this matter,' the Lime employee wrote.

Lime e-scooters returned to Auckland after a brief hiatus to fix a firmware issue which endangered its users. The new mode of transport has been a useful addition to reduce the city's congestion problems.

A week later on September 18, NZTA chief executive Brendan Mainwaring declared an electric scooter was now not a motor vehicle if its specifications met a certain criteria.

That criteria was listed in the Government gazette, and included; affixing wheels that do not exceed 355mm in diameter; one or more electric auxiliary propulsion motors; and the combined maximum power output of those electric motors did not exceed 300 Watts.

However, advocates for safety and e-scooter retailers say NZTA failed to outline a mandate ensuring they were safe and road-worthy for users and pedestrians. ACC has paid out $643,000 for more than 1300 e-scooter-related injury claims since October to mid-February.

Prior to this change no safety protocols existed because e-scooters were still classified as vehicles (mopeds), but after the re-classification Lime were free to introduce its fleet to New Zealand and avoid existing vehicle regulations.

And as they were no longer a motor vehicle, NZTA would not police or regulate their use.

Once NZTA declared the intended amendment, the change had to be presented to Parliament within 16 sitting days - but NZTA failed to meet this deadline. The papers were eventually presented on December 7.

An NZTA spokesman said that prior to 'September 2018 there was some ambiguity as to whether e-scooters fell into the moped or the wheeled recreational device category'.

Now, the spokesman said, if an 'e-scooter has a power output of above 300 watts, the nearest vehicle class is a moped and the scooter would therefore need to meet the relevant standards to be registered and licensed'.

Currently multiple e-scooter brands, that do not meet the current criteria, are for sale in New Zealand, with no one tasked to properly police safe use. While retailers can warn the purchaser of the restrictions, there is little enforcement, and without a registration scheme little chance of catching any reported offenders.

Dr Lynley Hood has asked for a regulatory review of NZTA's handling of e-scooters.

Auckland Council has no jurisdiction to investigate safety concerns or suspend the sale or use of private products or services, including e-scooters that are privately sold or used. This is the role of central government.

The NZTA spokesman said: 'The requirements for the safety of e-scooters as products are covered under the Fair Trading Act and the Consumer Guarantees Act, administered by the Ministry of Business, Innovation and Employment. Specific requirements for the safety of the batteries and battery chargers are covered by the Electricity (Safety) Regulations, administered by Worksafe.'

Safety advocate Dr Lynley Hood, acting on behalf of the Dunedin Pedestrian Action Network and the Visual Impairment Charitable Trust Aotearoa, has submitted an application for a regulatory performance review of the way NZTA has handled the situation.

This Dualtron Ultra electric scooter can go up to 80kmh and is available on Trade Me for $4,500. 'This is not your crappy old Lime scooter - this is a state of the art ultra high spec weapon,' the ad says.

She said despite NZTA's claimed concern for road safety, the misuse of its delegated powers has made the country's roads and footpaths more unsafe.

By rushing through the exemption, Hood believes NZTA has allowed importers, retailers, hirers and owners of e-scooters to avoid the compulsory vehicle inspections for safety and roadworthiness required for motor vehicles.

They have allowed the reckless users of faulty e-scooters to cause unacceptable levels of injury, distress and disruption to pedestrians of all ages and abilities, she said.

In her submission she adds that NZTA failed in its duty by not making helmets mandatory; not providing consequences for reckless or drunk scooting; and allowing e-scooter hirers and owners to avoid paying ACC levies.

Henry Tan of e-scooter shop eScoozi in Albany, north Auckalnd says NZTA's e-scooter safety rules are a joke.

Earlier this year, the Ministry of Transport stated it was working on a regulatory package, 'Accessible Streets', that aims to improve safety for footpath users and encourage active transport.

The Ministry was also developing a new road safety strategy, which would 'outline New Zealand's road safety vision and priorities for the next 10 years.

Consultation on the draft strategy was due to begin in April. Part of that focus would be on mobility devices, including e-scooters.

E-SAFETY MEASURES

E-scooters can be used on the footpath or the road, except in designated cycle lanes that are part of the road, according to NZTA.

Tan said he stocks many e-scooter brands including Israeli product Inokin, which he said has 10-years industry experience behind them.

On the footpath the user must operate the device in a careful and considerate manner, at a speed that does not put others at risk and give way to both pedestrians and drivers of mobility devices.

On the road, e-scooters must be operated as near as practicable to the edge of the roadway. A helmet is not legally required to be worn when using an e-scooter, but is recommended.

Tan believes pneumatic tyres rather than solid tyres are a key aspect for safe riding.

Henry Tan, owner of eScoozi, an e-scooter retail shop in north Auckland's Albany, said NZTA's current safety rules are 'a joke'.

'Not having a helmet is a stupid idea,' he said.

'I think 25kmh is also way too fast. The reason they are preset is because of the hills and climbs needed in New Zealand, but it's too fast for a built-up area.'

Tan thinks e-scooters should have a top speed of no more than 20kmh, and should strictly operate on the footpath - not the road.

'An electric scooter is a device that takes people safely from point A to B, short journeys around town to avoid getting into a car and having to worry about parking and traffic - it's not to rush.

'Nowadays with so many cars around it's vital to protect yourself, you cannot compete with the car. They are on two small wheels and have a small handle bar, it's certainly not designed for fast speed.'

In his opinion, 'Lime scooters are good for younger users who are not too heavy because it will still take the hills, but for people older and heavier they will want something more substantial because the dangers are greater'.

'They need a pneumatic tyre and substantial brakes that don't lock up.'

But Lime has been good for introducing the e-scooter to the New Zealand market, he said.

In Singapore, Tan's home country, the e-scooter is crucial, particularly in the CBD - without it congestion would be doubled.

'They impose stringent regulations, and now they have registration numbers on the front. If someone does something silly on them, police can see the registration and catch them. It scares them a bit, and it's good for the rider, the road user and the pedestrian.'

The use of e-scooters on public paths in Singapore is governed by legislation which fully came into effect in May last year. Essentially riders must register their approved e-scooter, wear helmets and adhere to safe usage otherwise they could be fined, jailed or have their e-scooters seized.

But as well as strict rules that promote safety, ones that can actually be enforced by police or council, Tan believes education is essential for the public to be more aware of the new mode of transport.

'Also we need to educate the rider. They need to make sure they are using the right scooter for them, going by there journey type, their size, and age, and how to ride safely and give way to pedestrians.'

An example of a safety campaign for e-scooters. HENRY TAN/FACEBOOK

Tan sells a Dualtron scooter which has a powerful 1600 watt engine and can go up to 75kmh plus, but he says they are strictly for off-road use only.

'We make the purchaser sign an agreement that they understand the scooter cannot go on the road or footpath,' he said.

'Most people that purchase this product are farmers, sometimes using it in place of quad bikes.'

Tan is encouraged there are more products coming on the market, which gives riders more options.

'The electric scooter is here to stay, there's no doubt about that. With so many car trips where just one person is in the car, it is the best way to cut down congestion.

'It can help save you money, and a good scooter will cost you a lot less than spending $3000 a year on Lime trips. It makes sense to spend the money on a good one that is safer, and more portable so it's there when you need it.'