ACCC proposes to grant authorisation to central Queensland regional councils
The Australian Competition and Consumer Commission has issued a draft determination proposing to grant authorisation* to the Rockhampton, Gladstone, Central Highlands and Isaac Regional Councils to allow them to conduct a joint tender for provision of waste, recyclables and ancillary waste services.
The joint tender is designed to provide a level of waste and recyclables volume that will encourage competition for the relevant contracts, particularly in rural areas. In the past, waste and recyclables service companies have been reluctant to tender for rural based contracts due to the lack of volume and the prohibitive transport costs. The joint tender is designed to mitigate these factors and in doing so provide better services and lower costs to rural residents.
"The ACCC considers that the joint tender is likely to result in cost savings to ratepayers and potentially environmental benefits through the introduction of best practice recycling and the diversion of waste from landfill," ACCC Chairman, Mr Graeme Samuel said.
The ACCC's draft determination will be available from the ACCC website. The ACCC is seeking comments on its draft determination.
*Authorisation provides protection from court action for conduct or arrangements that might otherwise raise concerns under the competition provisions of the Trade Practices Act 1974. Authorisation is granted where the ACCC is satisfied that the benefit to the public from the conduct outweighs any public detriment. A party to whom authorisation had been granted may also apply to the ACCC for a minor variation of that authorisation.
