The Australian Competition and Consumer Commission today issued its draft guide to declaration of airport services under section 192 of the Airports Act.
In July 1997 the Government granted long term leases at Melbourne, Brisbane and Perth [Phase 1] airports. In May this year it granted leases on a number of other airports, including Adelaide, Alice Springs, Canberra, Coolangatta, Darwin, Hobart, Launceston and Townsville.
The Government introduced a package of regulatory measures to apply to privatised airports and gave the ACCC primary responsibility for implementing and administering them. Access arrangements, under the Airports Act and Part IIIA of the Trade Practices Act 1974, are a core part of the package.
Certain airport services are declared for purposes of Part IIIA under section 192 of the Airports Act 12 months after the leases begins unless an undertaking has been accepted by the ACCC. These provisions already apply to the Phase I airports. The Airports Act does list the services subject to declaration, instead it sets out declaration criteria.
In publishing the draft access undertakings guide the ACCC aims to assist airport operators, airport users and other interested parties interpret section 192 of the Airports Act 1996.
"The draft guide contains information on which airport services the ACCC considers likely to be declared under the Airports Act, for the purposes of Part IIIA of the Trade Practices Act," ACCC Chairman, Professor Allan Fels, said today. "The draft guide also explains the relationship between declaration of an airport service and airport access undertakings. An airport service the subject of an access undertaking cannot be declared. As such, this draft guide may assist Phase II airport operators in deciding whether to lodge an access undertaking.
"The draft guide groups airport services into a number of categories and assesses each of the service categories against the criteria in s. 192(5), using the framework established for interpreting the criteria."
Copies of the draft guide, 'Declaration of airport services - Section 192 of the Airports Act' are available from Gavin Gillies on (03) 9290 1829. The paper will also be available on the ACCC's website.
Application of the airport service test in section 192(5) of the Airports Act
Service:
Criterion (i) - Is the service necessary?
Criterion (ii) - Is the facility significant and uneconomic to duplicate? Is the service likely to be within the definition in section 192(5)? Airside facilities (runways, taxiways, aprons, etc.) Yes Yes Yes International passenger processing areas (check-in desks, gate lounges, customs, etc.) Yes Yes Yes Domestic passenger processing areas (check-in desks, gate lounges, customs, etc.) Yes Assessment case by case Assessment case by case Administrative office space Yes No No Commercial and retail facilities No No No Flight catering facilities Assessment case by case No No Refuelling facilities Yes Assessment case by case Assessment case by case Land for providing refuelling services Yes Yes Yes Land for providing ground service and freight handling equipment storage facilities Yes Yes Yes Ground service and freight handling equipment storage facilities Yes Assessment case by case Assessment case by case Sites for cargo terminal facilities Yes No No Sites for light/emergency maintenance facilities Yes Yes Yes Sites for heavy maintenance facilities Yes No No Landside vehicle facilities Yes Yes Yes Waste disposal facilities Yes No No