Postal Services Legislation Amendment Act 2004

Administered by Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts

Legislation au C2004A01303 In force Act

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No. 69, 2004

An Act to amend legislation relating to postal services, and for related purposes

Contents

1 Short title

2 Commencement

3 Schedule(s)

4 Application and saving provisions

Schedule 1—Amendments

Australian Postal Corporation Act 1989

Trade Practices Act 1974

Postal Services Legislation Amendment Act 2004

No. 69, 2004

An Act to amend legislation relating to postal services, and for related purposes

[Assented to 22 June 2004]

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Postal Services Legislation Amendment Act 2004.

2 Commencement

This Act commences on the day on which it receives the Royal Assent.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

4 Application and saving provision

ACCC’s new obligation

The Australian Competition and Consumer Commission must fulfil its obligation under subsection 50H(2) of the Australian Postal Corporation Act 1989, as inserted by item 21 of Schedule 1, within 12 months of the commencement of this Act.

Schedule 1—Amendments

Australian Postal Corporation Act 1989

7 Section 3

Insert:

ACCC means the Australian Competition and Consumer Commission.

11 After paragraph 30(1)(ha)

Insert:

(hb) the carriage of a letter to the provider of an aggregation service, for the purposes of aggregation in order to use a bulk interconnection service (within the meaning of section 32A);

12 At the end of paragraph 30(1)(ma)

Add:

; or (iii) from a member of the service to a service centre of the service (subject to subsection (1C)); or

(iv) from a service centre of the service to a member of the service (subject to subsections (1C) and (1D));

13 After subsection 30(1A)

Insert:

(1AA) For the purposes of paragraph (1)(hb), an aggregation service is a service:

(a) that aggregates letters from different senders; and

(b) that is offered in order to allow the senders to use a bulk interconnection service (within the meaning of section 32A).

14 After subsection 30(1B)

Insert:

(1C) Carriage of a letter between a service centre of a document exchange service and a person who is a member of the service is only covered by subparagraph (1)(ma)(iii) or (iv) if, at the time of the carriage, all of the following apply:

(a) the person chose to become a member of the service by applying directly to the provider of the service;

(b) the terms and conditions on which the service is provided require the person to pay a fee periodically (at least annually) to remain a member;

(i) is not a postal address; and

(ii) does not include a street name;

for the purposes of sending and receiving letters carried by the service;

(d) the person is entitled to send and receive letters carried by the service;

(e) there is a separate receptacle at a service centre of the service for the lodgment and collection of letters carried by the service that are sent to the person or sent by the person;

(f) the person is a government agency, partnership, educational institution, health or community service provider, charity, religious institution or other person carrying on a business or other undertaking not of a private or domestic nature.

(1D) Carriage of a letter from a service centre of a document exchange service to a person who is a member of the service is not covered by subparagraph (1)(ma)(iv) if the sender has addressed the letter using only a postal address.

14A After section 30

Insert:

30A Enforcement for infringement of reserved services

(1) A person shall not engage in conduct that involves an infringement of Australia Post’s exclusive right to undertake the reserved services.

(2) If the Federal Court is satisfied that a person has contravened subsection (1), the Court may order the person to pay to the Commonwealth such pecuniary penalty, in respect of each contravention, as the Court determines to be appropriate.

(3) In determining the pecuniary penalty, the Court must have regard to all relevant matters, including:

(a) the nature and extent of the contravention; and

(b) the nature and extent of any loss or damage suffered as a result of the contravention; and

(d) whether the person has previously been found by the Court in proceedings under this Act to have engaged in any similar conduct.

(4) The pecuniary penalty payable under subsection (2) by a body corporate is not to exceed $250,000 for each contravention.

(5) The pecuniary penalty payable under subsection (2) by a person other than a body corporate is not to exceed $50,000 for each contravention.

(6) The Minister or the ACCC may institute a proceeding in the Federal Court for the recovery on behalf of the Commonwealth of a pecuniary penalty referred to in subsection (2).

(7) A proceeding under subsection (6) may be commenced within 6 years after the contravention.

(8) For the avoidance of doubt, the remedy in this section is in addition to that provided in section 31 of this Act.

15 Section 32B

Omit “Australian Competition and Consumer Commission” (wherever occurring), substitute “ACCC”.

Note: The heading to section 32B is altered by omitting “interconnection”.

16 Subparagraphs 32B(1)(a)(i) and (ii)

Repeal the subparagraphs, substitute:

(i) to inquire into a dispute, between Australia Post and a person who is obtaining or who wishes to obtain a rate reduction for the delivery of bulk quantities of letters by Australia Post in return for performing functions in relation to the letters that may be performed by Australia Post, about the terms and conditions on which a rate reduction is or would be provided to the person (including the amount of the rate reduction); and

(ii) to make a recommendation to the Minister about those terms and conditions; and

17 Paragraph 32B(1)(f)

Repeal the paragraph, substitute:

(f) that, despite section 49, the Minister may, if the Minister thinks fit and after consultation with the Board, direct Australia Post to act in accordance with a recommendation made by the ACCC under subparagraph (a)(ii); and

18 After subsection 32B(1)

Insert:

(1A) Regulations made under paragraph (1)(f) must not authorise the making of directions that are inconsistent with subsection 32A(2).

21 After Part 4

Insert:

Part 4A—Monitoring of Australia Post

Division 2—Role of the ACCC

50H ACCC may require Australia Post to keep records

(1) The ACCC may require Australia Post to keep records:

(a) about the matters specified by the ACCC; and

(b) in the manner and form specified by the ACCC.

(2) Without limiting subsection (1), the ACCC must require Australia Post to keep records about its reserved services.

(3) Australia Post must give the ACCC:

(a) copies of records kept under subsections (1) and (2); or

(b) details about information contained in those records;

on request by the ACCC:

(d) within the time specified by the ACCC.

(4) The ACCC may only require Australia Post to keep records under subsection (1) about matters that are relevant to the following:

(a) the performance of the ACCC’s functions in relation to prices surveillance and to section 32B of this Act;

(b) the financial relationship between parts of Australia Post’s business that relate to reserved services and parts that do not;

50I ACCC may publish reports analysing records

The ACCC may prepare and publish reports analysing information given to the ACCC under subsection 50H(3).

50J Minister may direct ACCC to report

(1) The Minister may direct the ACCC to do either or both of the following:

(a) prepare;

(b) publish;

a report analysing the information in records kept under subsections 50H(1) and (2).

(2) The ACCC must comply with a direction under subsection (1).

50K Publication of confidential information

A report published under section 50I or 50J may include information that Australia Post claims is commercial‑in‑confidence information if the ACCC is satisfied:

(a) that the claim is not justified; or

(b) that it is in the public interest to publish the information.

22 After section 56

Insert:

56A Recovery of costs incurred by the ACCC

Minister may estimate costs for financial year

(1) The Minister may, during a financial year:

(a) estimate the ACCC’s costs for that financial year; and

(b) notify Australia Post of the Minister’s estimate.

Minister may determine actual costs for previous financial year

(2) The Minister may, in a financial year, determine the ACCC’s actual costs for the previous financial year.

Minister may direct Australia Post to pay adjusted estimated costs to ACCC

(3) The Minister may, in a financial year, direct Australia Post to pay to the ACCC, on behalf of the Commonwealth, the Minister’s estimate of the ACCC’s costs for that financial year, adjusted in accordance with subsection (7) or (8).

Adjustment for ACCC

(7) If:

(a) in the previous financial year, the Minister directed Australia Post to pay an amount to the ACCC; and

(b) the Minister determines that the ACCC’s actual costs for that previous financial year exceed the costs the Minister estimated for the ACCC that year;

the amount the Minister may direct Australia Post to pay to the ACCC under subsection (3) is increased by that excess.

(8) If:

(a) in the previous financial year, the Minister directed Australia Post to pay an amount to the ACCC; and

(b) the Minister determines that the ACCC’s actual costs for that previous financial year fall short of the costs the Minister estimated for the ACCC that year;

the amount the Minister may direct Australia Post to pay to the ACCC under subsection (3) is reduced by that shortfall.

Note: Because the ACCC is a prescribed agency for the purposes of the Financial Management and Accountability Act 1997, its officials are required to deal with amounts received under subsection (3) in accordance with that Act.

Costs

(9) In this section:

ACCC’s costs means the costs of the ACCC in performing its functions under this Act.

costs means an amount that, in accordance with accrual‑based accounting principles, is treated as a cost.

23 Paragraph 90J(6)(c)

Repeal the paragraph, substitute:

24 Paragraph 90LC(5)(c)

Repeal the paragraph, substitute:

Trade Practices Act 1974

25 Subsection 25(1)

Omit “or Rules of Conduct under Part 20 of the Telecommunications Act 1997”, substitute “, Rules of Conduct under Part 20 of the Telecommunications Act 1997 or the Australian Postal Corporation Act 1989”.

[Minister’s second reading speech made in—

House of Representatives on 19 June 2003

Senate on 1 March 2004]

(92/03)

Overview

The Postal Services Legislation Amendment Act 2004 was enacted by the Parliament of Australia to amend existing legislation relating to postal services and address certain issues within the sector. The Act aims to strengthen regulatory oversight of Australia Post, enhance the enforcement mechanisms against infringements of exclusive postal services, and improve the monitoring and financial transparency of Australia Post’s operations. The Australian Competition and Consumer Commission (ACCC) is tasked with fulfilling specific obligations within 12 months of the Act's commencement, including requiring Australia Post to maintain records and allowing the ACCC to publish reports based on these records, even if they include information that Australia Post claims is commercially sensitive. Additionally, the Act introduces measures to deter infringements of Australia Post’s exclusive rights and to ensure that the company appropriately compensates the ACCC for its regulatory functions. The policy objective of the Act is to bolster the regulatory framework governing postal services to ensure that Australia Post operates efficiently and fairly, while also protecting the public interest. By enhancing the enforcement mechanisms and oversight processes, the Act seeks to maintain the integrity of Australia Post’s reserved services and ensure that the company remains accountable for its activities.

Scope and Application

The Postal Services Legislation Amendment Act 2004 amends the Australian Postal Corporation Act 1989 and the Trade Practices Act 1974 to modify aspects of postal services regulation in Australia. This Act applies to the Australian Competition and Consumer Commission (ACCC) and Australia Post, focusing on the regulation and enforcement of postal services, particularly in the context of reserved services and interconnection services. The Act's jurisdictional reach is national, as it operates within the framework of Commonwealth legislation. One notable exclusion from the application of this Act is that it does not specify any particular exclusions or exemptions, though it does set thresholds for pecuniary penalties for infringements of reserved services. The application and enforcement of the Act may be further detailed or extended through subordinate instruments such as regulations or rules, which are not specified in the provided text but would typically be crafted to provide further clarity or operational detail. The Act imposes specific obligations on the ACCC, including the requirement to fulfil its obligations within 12 months of the Act's commencement, as well as the ability to mandate Australia Post to maintain records and prepare reports for analysis. Additionally, the Act allows for the Minister to direct the Australian Competition and Consumer Commission to prepare and publish reports based on these records. This Act further provides for the Minister to estimate and adjust the costs incurred by the ACCC, directing Australia Post to cover these costs on behalf of the Commonwealth. The provisions within the Act ensure that the enforcement of postal service regulations remains stringent, with specific penalties for infringements and clear directives for the ACCC in monitoring and reporting on Australia Post's activities.

Key Provisions

The Postal Services Legislation Amendment Act 2004 (Act) makes several key amendments to existing legislation to regulate postal services in Australia, particularly those offered by Australia Post. Under section 3 of the Australian Postal Corporation Act 1989 (APC Act), the term "ACCC" is defined as the Australian Competition and Consumer Commission. Additionally, the Act introduces new definitions for "aggregation service" and "bulk interconnection service" under section 11, and modifies existing definitions related to the carriage of letters (section 12). It also specifies conditions under which certain carriage services are covered under the APC Act (section 13). These changes aim to clarify the scope and application of postal services and the regulatory framework governing them. The Act imposes several obligations on Australia Post and the ACCC. For instance, section 30A of the APC Act prohibits any person from engaging in conduct that infringes on Australia Post's exclusive rights to reserved services. The ACCC has specific duties under sections 50H and 50I, which allow it to require Australia Post to maintain records relevant to its functions and to publish reports analysing the provided information. Section 56A of the APC Act also mandates that the Minister may estimate and direct Australia Post to pay the ACCC's costs, adjusted for any discrepancies between estimated and actual costs from the previous financial year. These provisions ensure that Australia Post and the ACCC perform their roles effectively in regulating and monitoring postal services. Breaches of the provisions outlined in the Act can result in significant consequences. For example, engaging in conduct that infringes on Australia Post's exclusive rights under section 30A of the APC Act can lead to a pecuniary penalty being ordered by the Federal Court. The penalty is determined based on the nature and extent of the contravention, the loss or damage caused, and other relevant factors. The maximum penalty for a body corporate is $250,000 for each contravention, while for individuals, it is capped at $50,000. Furthermore, the Minister or the ACCC can institute proceedings in the Federal Court to recover penalties on behalf of the Commonwealth, with such proceedings needing to be commenced within six years of the contravention. These penalties and legal actions serve as deterrents against non-compliance with the regulatory framework.

Area of Law: Commercial Law; Regulatory Standards
Instrument: Act
Concepts: Definitions & Interpretation; Regulatory Standards; Offence Provisions

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.

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