The Australian Competition and Consumer Commission has decided to revoke notifications lodged by various speedway tracks that only allow access to track facilities to National Association of Speedway Racing licence holders.
The ACCC has issued notices revoking the notifications lodged by Brisbane Speedway, Murray Bridge Speedway and Premier Speedway* which proposed to only allow drivers and pit crew access to its track facilities on the condition that the participants hold a NASR licence.
Consistent with this decision, the ACCC has also decided to issue draft notices proposing to revoke similar notifications lodged by Perth Motorplex and Avalon Raceway**.
ACCC chairman Graeme Samuel said the ACCC is concerned about the effect the conduct will have on speedway racing clubs which issue licences in competition with NASR.
"While such bodies can host events at the notifying tracks, their drivers will also be required to obtain a NASR licence. This may reduce the attractiveness of competing licensing bodies and reduce their ability to expand their membership," Mr Samuel said.
The ACCC accepts that there may be some benefit in having a national set of safety and related racing standards which encompass important features such as safety and training. The ACCC does not, however, accept that the notifications create national safety and related standards. Rather, the notifications require a NASR licence in order to access the track facilities.
Similarly, the ACCC accepts that there may be benefits to having a single independent controlling body for a sport. Such a body could develop minimum safety and related racing standards to be met by licensing bodies. For example, a voluntary industry Code of Conduct could be developed establishing minimum objective standards relating to health, safety and competitor conduct. Such a code would allow licensing bodies to demonstrate that they comply with the minimum standards and could provide tracks with an effective risk management process.
"The ACCC recognises that the notifications may assist the tracks to implement risk management practices. However this must be balanced with the anti-competitive effect resulting from the exclusive arrangements," Mr Samuel said.
In relation to the draft notices for the Perth Motorplex and Avalon Raceway notifications, parties now have a further opportunity to lodge submissions in response, before the ACCC decides whether to issue a final notice revoking these notifications.
More information regarding the notifications and copies of the final and draft notices are available from the ACCC’s website www.accc.gov.au/ExclusiveDealingRegister.
Businesses may obtain protection in relation to conduct that might be at risk of breaching the exclusive dealing provisions of the Trade Practices Act 1974 by lodging a notification with the ACCC. Once lodged, protection for third line forcing notifications begins 14 days after lodgement.
The ACCC may revoke a notification if it is satisfied that the likely benefit from the conduct or proposed conduct will not outweigh the likely detriment from the conduct or proposed conduct. Before issuing a revocation notice, the ACCC must issue a draft notice setting out its reasons for proposing to revoke the notification.
* Brisbane International Speedway Pty Ltd, Murray Bridge Sporting Car Club & Motorcycle Club Incorporated and Premier Speedway Club Warrnambool
** Placide Pty Ltd as trustee for the Metro Speedway Trust t/a Speedway Perth Motorplex and Corio Park Pty Ltd t/a Avalon International Raceway.
