Two power unit manufacturers have entered into Accepted Breach Agreements with the FIA after breaching the new rules.
The FIA has announced that Honda and Alpine have been fined a total of one-million dollars after entering into Accepted Breach Agreements (ABA) after breaking the cost cap.
It was announced in September that Honda Racing Corporation (HRC) and Alpine had breached the new F1 power unit cost cap rules, which were first introduced in 2023.
All 10 teams were found to be in compliance of the cost cap with no breaches recorded.
As with Red Bull in 2022, after the breach was recorded, HRC and Alpine entered into ABA talks with F1’s governing body, with the two suppliers being fined a total of $1 million USD.
HRC has been fined $600,000 for its breach, with Alpine fined $400,000, with both having to also cover the respective costs of the cost cap administration board.
Why Honda and Alpine were fined
HRC entered into its ABA with the FIA on October 7th, and Alpine on October 11th, with both being found to have acted in good faith throughout the process with “no accusation or evidence” of bad faith.
Given this, the cost cap administration “considered it appropriate” to offer both an ABA.
HRC’s breach concerns a procedural breach in its “failure to file accurate reporting documentation” as the files submitted “included incorrect/excluded and/or adjusted costs in the calculation of relevant costs.”
These costs concerned dyno maintenance and other costs involving inventories.
As for Alpine, it was found to have breached Articles 8.1, 8.2(d) and 8.2(e) of the power unit supplier cost cap “in delaying the exercise by the cost cap administration of its regulatory function and in submitting reporting documentation in respect of the 2023 reporting period that was inaccurate by omitting relevant information.”
Documents supplied by Alpine on April 2nd 2024 as per Article 5.1(d) contained “significant deficiencies” with “several procedures not being performed at all” with others only partially completed.
A second batch of documents was submitted on May 6th 2024, and was found to be satisfactory.
Both HRC and Alpine must pay the funds to the FIA with 30 days of the execution of the ABA, and neither can appeal.
