Prices Surveillance Act 1983 - Direction No. 17 - Container Stevedoring Services

Overview

The Prices Surveillance Act 1983 was enacted to empower the Commonwealth of Australia to address issues related to price monitoring and surveillance, ensuring that consumers are not subject to excessive or exploitative pricing practices. This legislation was introduced to address the need for oversight and regulation of prices in specific markets, particularly those involving essential services where the absence of competition might lead to price gouging. The Act was enacted by the Parliament of Australia, with a policy objective to protect consumers from unfair pricing practices and to promote fair competition. In this context, the Prices Surveillance Act 1983 enables the Treasurer to direct the Australian Competition and Consumer Commission (ACCC) to monitor prices, costs, and profits in designated sectors, as exemplified by Direction No. 17 issued in 1999, targeting container terminal operators in major Australian ports. This directive aims to ensure that the provision of container stevedoring services is conducted at fair and reasonable prices, thereby safeguarding consumer interests and maintaining market integrity.

Scope and Application

The Prices Surveillance Act 1983, through Direction No 17, specifically mandates the Australian Competition and Consumer Commission (ACCC) to conduct ongoing monitoring of prices, costs, and profits associated with the supply of services by container terminal operator companies in selected Australian ports. These ports include Adelaide, Brisbane, Burnie, Fremantle, Melbourne, and Sydney. The legislation identifies "container terminal operator companies" as those entities that provide container stevedoring services within the specified ports. The monitoring is intended to ensure that the market operates fairly and efficiently, without undue price increases or cost anomalies that could adversely affect consumers or the broader economy. This direction by the Treasurer, Peter Costello, underscores the Commonwealth's commitment to maintaining competitive practices within critical logistics and supply chain infrastructure sectors. Additionally, the ACCC is required to submit a report on its findings to the Treasurer within four months following the conclusion of each financial year, ensuring transparency and accountability in the implementation of the surveillance activities. This legislative instrument does not specify exclusions, exemptions, or thresholds, but its application may be further detailed or refined through subordinate instruments or regulations.

Key Provisions

The Prices Surveillance Act 1983, as evidenced by Direction No 17 issued by the Treasurer, mandates the Australian Competition and Consumer Commission (ACCC) to conduct specific monitoring activities. Under section 27A of the Act, the Treasurer has directed the ACCC to oversee the prices, costs, and profits associated with the supply of services by a container terminal operator company in designated ports. These ports include Adelaide (1)(a), Brisbane (1)(b), Burnie (1)(c), Fremantle (1)(d), Melbourne (1)(e), and Sydney (1)(f). The term 'container terminal operator company' refers to entities providing container stevedoring services in these specified ports (1)(3). The Act imposes a significant obligation on the ACCC to perform detailed monitoring tasks as directed by the Treasurer. This includes gathering data and information about the prices, costs, and profits of container terminal operator companies at the listed ports. The ACCC must then compile a report detailing these findings and submit it to the Treasurer within four months after the end of each financial year (1)(2). This ongoing reporting requirement ensures that the Treasurer is kept informed about the economic conditions and practices within the container terminal industry. Failure to comply with the requirements of the Act, or with the specific directions issued by the Treasurer, can result in various legal consequences. While the Act does not explicitly outline specific offences or penalties, breaches of statutory duties or failure to report as directed could potentially lead to legal action or other administrative consequences. Such actions might be pursued under general legal principles or other relevant legislation, depending on the nature and severity of the breach. However, the maximum penalties for any such breaches are not specified in the Act itself.