Regulator confirms current approach to accident towing and storage fees remains appropriate
25 May 2022
The Essential Services Commission has recommended that current regulated accident towing and storage fees remain appropriate and should only be increased in line with current indexation arrangements.
Under this scenario, how much you pay for vehicle towing and storage fees after an accident would only increase in line with annual adjustments based on the Melbourne Transport consumer price index minus a small productivity allowance.
The commission provided its recommendation to the Minister for Roads after completing its four-yearly review of regulated towing and storage fees for the metropolitan Melbourne and Mornington Peninsula region.
The commission’s Director of Pricing, Marcus Crudden, says the existing regulated fees in this region are appropriate and in line with regulated fees in Sydney, Adelaide and Queensland.
“Current accident towing fees in the region are higher than trade towing fees and provide adequate compensation for the work required for an accident towing job, compared to a trade towing job,” he said.
“Based on our benchmarking analysis, we concluded that the current regulated accident towing fees for the Melbourne controlled are appropriate.
“The indexation approach will address concerns about rising fuel costs.”
Current regulated towing and storage fees apply until the minister makes a new fee determination.
Accident towing and storage charges are the only regulated towing fees in Victoria.
Trade towing and storage services are unregulated and include clearway, impound and breakdown towing jobs.
Current regulated accident towing and storage fees in the Melbourne controlled area
* Applies 5pm to 8am Monday to Friday, 5pm Friday to 8am Monday, and public holidays.
Fee or charge description
Charge
(inc. GST)
Towing fees
Base fee (including first 8km travel by tow truck)
