Annual Report 2014

Significant business activity
In accordance with threshold of expenditure and the methodology prescribed by ss. 19 and 20 of
the LG Regulation, Council’s Waste Management activity was considered a new significant
business activity for the period.

Council confirms that a public benefit assessment for Waste Management will be undertaken for
the 2015-2016 reporting period.



Competitive neutrality
By resolution at the ordinary meeting held on 6 March 2014, Council adopted to:
   Apply the Competitive Neutrality Principle to its Waste Management business activity for the
    remainder of the 2013/14 financial year in accordance with s44(1)(b) of the LG Act; and
   Apply the Code of Competitive Conduct to the Holiday Parks business activity for the
    remainder of the 2013/14 financial year in accordance with s47 of the LG Act.

Council’s action confirms that it is committed to ongoing compliance with National Competition
Policy principles and its legislative obligations in this area. It is committed to ensuring that its
business activities operate on a level playing field with private businesses in the community.

Council ensures that the pricing practices for each business activity complies with the principles of
full cost pricing such that total revenue, inclusive of identified and measured community service
obligations and net of any advantages and disadvantages of public ownership, should aim to cover
the following elements:
   Operational and resource costs;
   Administration and overhead costs;
   Deprecation;
   Tax and debt equivalents; and
   Return on capital / return on cost.

During the period, there were no investigation notices provided to Council relating to competitive
neutrality complaints. Accordingly, The Queensland Competition Authority did not make any
reportable recommendations to Council in relation to a competitive neutrality complaint.



Commercial business units
Pursuant to s 27(2) of the LG Regulation, a commercial business unit is a business unit that
conducts business in accordance with the prescribed key principles of commercialisation.

Council did not nominate any business activities as commercial business units during the period.




Noosa Council Report 2014                                                              Page 13 of 24