ACCC authorises Wiggins Island coal producers to collectively bargain
The Australian Competition and Consumer Commission has decided to allow various coal producers to collectively bargain with QR Network for access to its Moura and Blackwater rail systems.
Access to these systems is necessary to transport coal to the new Wiggins Island Coal Export Terminal at the Port of Gladstone, Queensland.
The new terminal will be constructed in stages over several years as mines in the region are developed.
"The ACCC considers these arrangements will result in significant transaction cost savings for the parties involved and help to avoid possible delays in the terminal's construction and new coal export earnings," ACCC chairman Graeme Samuel said.
The ACCC has authorised the arrangements for 15 years. This will allow collective negotiations with QR Network for Stages 1 and 2 of the terminal's construction and for the parties to give effect to any agreements entered into for an initial ten year term.
Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Trade Practices Act 1974. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.
