The ACCC proposes to authorise the City of Hobart Council, and 11 other participating councils in southern Tasmania, to collectively tender and contract for recycling waste processing services.

The City of Hobart Council is joined in the collective tender process by Clarence City Council, Glenorchy City Council, Kingborough Council, Glamorgan Spring Bay Council, Tasman Council, Brighton Council, Huon Valley Council, Central Highlands Council, Southern Midlands Council, Sorrell Council, and Derwent Valley Council.

The ACCC considers that the collective tendering is likely to result in environmental benefits, increased competition among recyclable material processors, transaction cost savings, and economies of scale.

Authorisation is sought because the councils may be in competition with each other to acquire recycling waste processing services and therefore jointly tendering for these services gives rise to a risk that they will breach competition laws.

The ACCC proposes to grant authorisation for 15 years and 6 months.

The ACCC now invites submissions in relation to the draft determination by 14 January 2021.

Further information about the ACCC’s interim authorisation and the City of Hobart Council’s application for authorisation is available on the ACCC’s public register at City of Hobart Council & Ors.