❓ A parliamentary question regarding the refusal of Dee's Deli's application to distribute Transperth MultiRider tickets, and whether this refusal breaches National Competition Policy. The Minister defends the decision, citing existing outlets and Newspower's commercial considerations.
AnsweredQoN 2470Legislative Assembly
QuestionView source ↗
(b) has the Minister considered that this refusal may be in breach of National Competition policy supported by the State Government; and (c) will the Minister instruct her department to review this decision, based on the issue of competitive practices?
(c) will the Minister instruct her department to review this decision, based on the issue of competitive practices?
In making this decision, Newspower not only factored into its assessment that there already exists an approved distribution outlet next door, but there are also three other outlets within close proximity; a Newsagent in the Perth Train Station and two Transperth Information Offices (one in the Perth Train Station and one in the Wellington Street Bus Station) both of which are major outlets for ticket sales. The area in close proximity to Dee’s Deli is therefore already very well serviced from a MultiRider ticket distribution perspective. From a commercial perspective, Newspower bears the additional costs and risks of maintaining the distribution network and I am cognisant of its commercial requirements to keep the network as efficient as possible within the constraints of the contract requirements. Newspower operates on a commission basis and it is not in its interest to refuse an application where it could potentially lead to an increase in sales. (b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy. (c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
(b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy. (c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
(c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
(c) will the Minister instruct her department to review this decision, based on the issue of competitive practices?
In making this decision, Newspower not only factored into its assessment that there already exists an approved distribution outlet next door, but there are also three other outlets within close proximity; a Newsagent in the Perth Train Station and two Transperth Information Offices (one in the Perth Train Station and one in the Wellington Street Bus Station) both of which are major outlets for ticket sales. The area in close proximity to Dee’s Deli is therefore already very well serviced from a MultiRider ticket distribution perspective. From a commercial perspective, Newspower bears the additional costs and risks of maintaining the distribution network and I am cognisant of its commercial requirements to keep the network as efficient as possible within the constraints of the contract requirements. Newspower operates on a commission basis and it is not in its interest to refuse an application where it could potentially lead to an increase in sales. (b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy. (c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
(b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy. (c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
(c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
AnswerView source ↗
Answered
30 March 2004
Responded by
Minister for Planning and Infrastructure
Response time
28 days
(a) The former Department of Transport (DOT) contracted the rights for the distribution of Transperth MultiRider tickets to Associated Newsagents (WA) Co-operative Ltd, (trading as Newspower) by way of public tender in July 2000. This contract is now managed by the Public Transport Authority. The contract was awarded for five years. One of the requirements of the contract is to develop and implement a strategy to increase the network of retail outlets such that MultiRider tickets are readily available to the travelling public. To this end, where an application is received from a new outlet which is in close proximity to an existing outlet, Newspower will consider the application favourably if the addition of that outlet makes the distribution network more effective. In this regard, the trading hours of the new outlet is a key determinant in arriving at that decision. With regard to the application from Dee’s Deli, I understand that the hours this business operates is the same as those in close proximity and therefore the application was refused.
In making this decision, Newspower not only factored into its assessment that there already exists an approved distribution outlet next door, but there are also three other outlets within close proximity; a Newsagent in the Perth Train Station and two Transperth Information Offices (one in the Perth Train Station and one in the Wellington Street Bus Station) both of which are major outlets for ticket sales. The area in close proximity to Dee’s Deli is therefore already very well serviced from a MultiRider ticket distribution perspective. From a commercial perspective, Newspower bears the additional costs and risks of maintaining the distribution network and I am cognisant of its commercial requirements to keep the network as efficient as possible within the constraints of the contract requirements. Newspower operates on a commission basis and it is not in its interest to refuse an application where it could potentially lead to an increase in sales.
(b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy.
(c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
In making this decision, Newspower not only factored into its assessment that there already exists an approved distribution outlet next door, but there are also three other outlets within close proximity; a Newsagent in the Perth Train Station and two Transperth Information Offices (one in the Perth Train Station and one in the Wellington Street Bus Station) both of which are major outlets for ticket sales. The area in close proximity to Dee’s Deli is therefore already very well serviced from a MultiRider ticket distribution perspective. From a commercial perspective, Newspower bears the additional costs and risks of maintaining the distribution network and I am cognisant of its commercial requirements to keep the network as efficient as possible within the constraints of the contract requirements. Newspower operates on a commission basis and it is not in its interest to refuse an application where it could potentially lead to an increase in sales.
(b) The process followed by DOT to award the contract to Newspower by way of public tender and, in accordance with State Supply Commission policy, complies with National Competition policy.
(c) The process followed by DOT to award the contract to Newspower complies with National Competition policy.
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