VW scandal hits SA – Regulator, Govt to probe emissions

By Liezel Hill

(Bloomberg) — The South African government will investigate whether Volkswagen AG vehicles in the country are affected by the automaker’s admission that it cheated on emissions testing for diesel engines.

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The National Regulator for Compulsory Specifications, a unit of the Department of Trade and Industry, will work with the environmental affairs and transport ministries to assess vehicles’ compliance with emissions regulations, the NRCS said in an e-mailed statement dated Sept. 23.

Read also: How a US non-profit’s persistence breached Volkswagen’s deceitful defences

Volkswagen admitted to rigging engines to circumvent pollution controls in the U.S., the country’s Environmental Protection Agency said Sept. 19. The crisis wiped about 20 billion euros ($22.4 billion) off VW’s market value this week, forcing Chief Executive Officer Martin Winterkorn to step down on Wednesday as the scandal widened and opened the door for the exit of other top executives.

Read also: “Endlessly sorry” Volkswagen’s market cap drops R400bn as fraud goes global

“If vehicles are found to be non-compliant, the NRCS will apply sanctioning process, which will lead to recall of the relevant vehicles for correction,” it said.

The regulator will compare implicated vehicle models against those that were approved in South Africa to determine whether there was any manipulation of pollution data, followed by sampling and testing of emissions requirements against the relevant local standard, it said.

Read also: Lawyers predict fee bonanza from owners demanding VW buys back their cars

Volkswagen South Africa spokesman Matt Gennrich declined to comment.

There were 8,472 new Volkswagens sold in South Africa in August, second only to Toyota Motor Corp.’s 9,939, according to National Association of Automobile Manufacturers data. Volkswagen sold the most passenger vehicles during the month, at 7,857 units, or 23 percent of the total.

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