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Terms of reference
Background
The Commonwealth, State and Territory governments have agreed to implement
national competition policy reforms through co-operative arrangements involving
Commonwealth and State legislation, and three Intergovernmental Agreements.
The Commonwealth Parliament has passed the Competition Policy
Reform Act, which is the principal legislative instrument for implementing
these reforms. State and Territory Governments have enacted legislation
to apply the Competition Code (a personalised version of Part IV of the
Trade Practices Act) contained in that Act in their jurisdictions.
As required by the Competition Principles Agreement, the Commonwealth,
State and Territory Governments published policy statements on the implementation
of elements of that Agreement by June 1996.
The Committee's report will assist Governments to address concerns which
have been expressed about the means of implementing aspects of the competition
policy reforms.
Terms of Reference
1. The Committee is to consider appropriate means, including review processes,
for applying the 'public interest' tests included in the Competition Principles
Agreement.
These tests are a critical feature of this Agreement. They are described
in Principle 1(3), which provides that:
Without limiting the matters that may be taken into account, where this
Agreement calls:
(a) for the benefits of a particular policy or course of action to
be balanced against the costs of the policy or course of action; or
(b) for the merits or appropriateness of a particular policy or course
of action to be determined; or
(c) for an assessment of the most effective means of achieving a policy
objective; the following matters shall, where relevant, be taken into
account:
(d) government legislation and policies relating to ecologically sustainable
development;
(e) social welfare and equity considerations, including community
service obligations;
(f) government legislation and policies relating to matters such as
occupational health and safety, industrial relations and access and
equity;
(g) economic and regional development, including employment and investment
growth;
(h) the interests of consumers generally or of a class of consumers;
(i) the competitiveness of Australian businesses; and
(j) the efficient allocation of resources.
2. The Committee will have particular regard to the impact of competition
policy reform on the efficient delivery of community service obligations
including an assessment of:
(a) existing government policies relating to community service obligations;
and
(b) options for the delivery and funding of these services.
3. The Committee will also examine the implications of competition
policy reform for the efficient delivery of services by local government,
including arrangements that have been developed between State Governments
and local government authorities for the implementation of the Competition
Principles Agreement.
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