The Australian Competition and Consumer Commission has issued a draft determination proposing to authorise*, for a period of three years, the banking industry's draft rules for clearing ATM and EFTPOS transactions.
The Australian Payment Clearing Association sought authorisation of the proposed regulations and procedures for the Consumer Electronic Clearing System, which covers ATM and EFTPOS debit card transactions.
This is the second draft decision the ACCC has made in respect of APCA's proposed ATM and EFTPOS arrangements. In August 1997 the ACCC proposed to reject the-then draft arrangements, which it considered required further development and amendment. APCA subsequently revised the arrangements and resubmitted them to the ACCC.
The ACCC considers that the revised CECS arrangements, which will set minimum standards and procedures for participants in the ATM and EFTPOS networks, are likely to result in benefit the public by enhancing the security and integrity of the networks. The proposed arrangements are also likely to assist entry to the networks by ensuring that prospective participants are not required to meet more stringent and unjustified standards and procedures.
CECS members will collectively set the minimum standards and procedures for the ATM and EFTPOS networks. However, membership of CECS will not be required for an organisation to participate in the networks.
* Authorisation: Part IV of the Trade Practices Act 1974 prohibits anti-competitive practices, but the granting of authorisation provides immunity from court action for some arrangements that could otherwise breach the Act. To gain authorisation the applicant must satisfy the ACCC that the arrangements are likely to result in benefit to the public that outweighs the anti-competitive effect of the arrangements. The ACCC seeks information from interested parties, issues a draft determination that may be subject to a public conference, and a final determination (which may be appealed to the Australian Competition Tribunal).