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Still no money for Volkswagen owners in Australia | Dieselgate

Still no money for Volkswagen customers in Australia even though US owners get $5000 each

The 'dieselgate' emissions scandal takes another turn: US buyers get compensation but Aussie buyers still left waiting.

Australia's peak motoring body has slammed German car maker Volkswagen for failing to compensate Australian customers after US owners were awarded an average of $US5000 ($AUD6000) overnight.

In the US, Volkswagen customers also have the option for "affected cars to be bought back by Volkswagen".

The Australian Automobile Association -- the peak body of the motoring clubs in each state and territory representing 7 million motorists -- said the only thing local Volkswagen customers are getting from the company is "silence".

AAA chief executive Michael Bradley said Australian owners caught up in the scandal "deserve better from Volkswagen than they are currently getting, and that could start with a goodwill payment".

"We know the ACCC is currently investigating this matter and we, along with Australians impacted by the scandal, would like to see this concluded as soon as possible," said Mr Bradley.

"But in the meantime there's nothing to stop Volkswagen showing some good will to Australians unwittingly caught up in this situation and providing a payment along the lines of what they have agreed to provide American Volkswagen Group vehicle owners."

Almost 100,000 Australian owners of Volkswagen, Audi and Skoda vehicles -- which share the same diesel engines at the centre of the emissions scandal -- are in a class action against the car maker locally.

As yet, no determination has been made in the Federal Court while Volkswagen continues to provide information to the law firm handling the open class action on behalf of all owners.

It's not clear to Australian consumers when the ACCC will conclude its investigations or what if any penalty will be applied to Volkswagen Group.

Volkswagen Australia believes customers here are not entitled to compensation because it claims there will be no adverse affect on its vehicles once the upgrades are made.

"We believe that the best outcome for customers is the simple software solution," said the managing director of Volkswagen Australia, Michael Bartsch.

"The solution will update the software in vehicles which are the subject of the class action at no charge to customers."

The AAA says Volkswagen sold vehicles in Australia "fitted with devices which allowed greater emissions in the real world than when under testing in a laboratory. We also know that such devices are specifically prohibited under the Australian Design Rules".

"It's not clear to Australian consumers when the ACCC will conclude its investigations or what if any penalty will be applied to Volkswagen Group," said Mr Bradley.

"Volkswagen should stop treating Australians as second class citizens. They should be up front and treat Volkswagen owners equally regardless of what country they're in."

Do you think that Volkswagen Australia is handling the Dieselgate scandal well? Tell us what you think in the comments below.

Joshua Dowling
National Motoring Editor
Joshua Dowling was formerly the National Motoring Editor of News Corp Australia. An automotive expert, Dowling has decades of experience as a motoring journalist, where he specialises in industry news.
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