The Australian Competition and Consumer Commission has granted interim authorisation to the Rural Doctors Association of Australia (RDAA) to allow it to continue to collectively negotiate with state and territory health departments on behalf of general practitioners or rural generalist visiting medical officers in rural areas (collectively “rural doctors”). 

The ACCC’s previous authorisation of these arrangements expires on 30 June 2013.

“Interim authorisation allows rural doctors to continue to collectively bargain with state and territory health departments, providing some stability and certainty in this area – which may help in attracting and retaining rural doctors,” ACCC Deputy Chair Dr Michael Schaper.

Interim authorisation commences immediately, and will remain in place until the date that the ACCC's final determination comes into effect or is revoked.

However, the ACCC decided not to grant interim authorisation to proposed new arrangements involving collective bargaining between RDAA and Medicare Locals.  In making this decision the ACCC considered concerns raised by the Australian Medicare Local Alliance and the potential for the arrangements to lessen competition in the provision of healthcare services to Medicare Locals. The ACCC is seeking further information about the impact of this conduct from interested parties.

Granting or denying interim authorisation in no way binds the ACCC in its consideration of the substantive application for authorisation. A draft decision on the substantive application will be issued in July/August 2013.

Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010.  Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.  Interim authorisation allows the parties to engage in the conduct prior to the ACCC considering the substantive merits of the application.

Further information about the application for authorisation and the granting of interim authorisation is available from the Authorisation register.