Two groups of Sydney councils will be able to collectively tender for facilities to sort recyclable household waste (paper, bottles etc) under an authorisation issued by the Australian Competition and Consumer Commission.
The tender processes would, where necessary, require new sorting facilities to be constructed that would be closer to councils than existing facilities. In light of this, the ACCC was satisfied that costs incurred by councils in transporting waste to these facilities would fall. In addition, air and noise pollution and traffic congestion would be eased. The ACCC also considered that it would cost councils less to tender for sorting facilities collectively.
The ACCC was satisfied that minimal public detriment would result from the councils' proposals. In particular, the price of goods made from recycled waste would be unlikely to rise.
Overall, the ACCC concluded that the public benefit from the councils' proposals outweighed any public detriment and therefore granted authorisation.
The councils covered by the two authorisation determinations are: Botany Bay City Council, Canterbury City Council, Hurstville City Council, Kogarah Municipal Council, Marrickville Council, Randwick City Council, Rockdale City Council, South Sydney City Council, Sutherland Shire Council, Waverley Council, and Woollahra Municipal Council; and Ashfield Council, Auburn Council, Burwood Council, City of Sydney, Canada Bay Council, Leichhardt Municipal Council and Strathfield Municipal Council
*Authorisation provides immunity from legal action for conduct that might otherwise breach the Trade Practices Act 1974. The ACCC can grant such immunity only where it is satisfied that the detriment flowing from the anti-competitive conduct in question is outweighed by accompanying public benefit. Applications for authorisation are considered on a case by case basis. The onus is on the applicant to demonstrate that there is a public benefit arising from the conduct, and that the public benefit outweighs any public detriment.