On 9 August 2022, the Australian Competition and Consumer Commission (the ACCC) made a draft determination proposing to grant authorisation, with conditions, to enable Coles Group Limited, other participating supermarkets and other approved supermarkets to continue cooperating in response to the COVID-19 pandemic to ensure supply and distribution of retail products and a safe operating environment.
Coles has had authorisation for substantially the same conduct since March 2020. Its most recent authorisation was due to expire on 31 March 2022. On 25 March 2022, the ACCC granted interim authorisation to enable the cooperation between the parties to continue while the ACCC considers the substantive application.
The ACCC notes that while there has been a transition away from lockdowns, the situation in relation to the COVID-19 pandemic remains uncertain as COVID-19 outbreaks continue. It is possible that collaboration between the Parties may need to occur in future, and likely at short notice. Given this ongoing uncertainty, the Proposed Conduct has the potential to result in a number of public benefits.
However, to reflect that the COVID-19 situation has evolved since Coles’ earlier authorisations, and to limit the potential for public detriment to arise, the ACCC proposes to require that any coordination undertaken must be ‘responding to issues arising from or significantly impacted by the COVID-19 pandemic.’
The ACCC proposes to grant authorisation until 31 March 2023, with the 2 conditions proposed by Coles.
To inform the ACCC’s consideration about whether to grant substantive authorisation, the ACCC is now seeking submissions about the application for re-authorisation by 12 August 2022. Further details about the application and how to make a submission are available on the ACCC public register at: Coles Group on behalf of itself and participating supermarkets