Metropolitan Waste and Resource Recovery Group

Summary

On 11 October 2021, the Metropolitan Waste and Resource Recovery Group (MWRRG) applied for revocation of authorisation AA1000451 and substitution for a new authorisation (re-authorisation) to conduct a collaborative tender process to procure sorting services for commingled household recyclable waste collected from kerbsides. MWRRG is seeking authorisation on behalf of itself and a group of 27 metropolitan Melbourne councils and 8 regional councils (the Participating Councils), and 3 regional waste and resource recovery groups (regional WRRGs).

In February 2020, the ACCC granted authorisation AA1000451 to MWRRG for 12 months to conduct the tender process and negotiate and execute contracts, and 20 years to give effect to the contracts for the supply of recyclable waste sorting services.

MWRRG applied for re-authorisation due to changes in government policy and changes in  the make-up of the participating councils. The updated proposed conduct includes the establishment of a panel for suppliers of recycling sorting services to provide standing offers to councils who may choose to place orders with those suppliers.

MWRRG also proposes to manage a “common gate fee” (CGF) mechanism between participating councils, where each supplier would invoice MWRRG and would continue to be paid the prices agreed with MWRRG. The CGF mechanism is a more developed form of the Management Deed proposed in the original application for authorisation.

MWRRG sought interim authorisation to begin the tender process by 8 November 2021, and substantive authorisation for the same period of 20 years as granted in the original authorisation.

On 10 November 2021, the ACCC granted interim authorisation to enable MWRRG, the Participating Councils and regional WRRGs to commence a tender process (but not to execute any binding contracts) for the collective procurement of sorting services for commingled, kerbside recyclable material.

The initial public consultation is now closed. The ACCC will invite submissions on its draft determination once published.

A timetable is set out below for your information

Indicative date

Stage in assessment process

8 October 2021

Lodgement of application

14 October 2021

Consultation on the application commences

21 October 2021

Closing date for submissions on interim authorisation

4 November 2021

Closing date for submissions on substantive application

10 November 2021

ACCC decision on interim authorisation

December 2021

ACCC draft determination

December/January 2021

Public consultation on the draft determination

February 2022

ACCC final determination

Applicant(s)

  • Metropolitan Waste and Resource Recovery Group

Authorisation number(s)

  • AA1000581-1